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South Africa Blocks Chemicals Merger, Future of CMC Producer Uncertain

3:45 AM MST | January 25, 2012 | Natasha Alperowicz

South Africa's Competition Commission (Pretoria) on Tuesday blocked a bid by Senmin International, a unit of AECI, to acquire Cellulose Derivatives (Pretoria). The commission says that the merger “was essentially the same transaction that was previously prohibited by the commission in February 2009.” Senmin is a wholly-owned subsidiary of Chemical Services Ltd., which is controlled by AECI, and is involved in the manufacture, marketing and distribution of mining chemicals. Cellulose Derivatives is the only local manufacturer of technical grade...

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