01 April 2009 19:38 [Source: ICIS news]
The acquired operations will be combined with Dow to be called Dow's Advanced Materials Division, the company said.
Under the settlement, the two largest shareholders of Rohm and Haas have agreed to buy $2.5bn (€1.9bn) in preferred equity to be issued by Dow, the company said.
In addition, Dow said it is exercising its option to have the Haas Family Trusts make another $500m investment in equity.
As such, Dow will now pay $63/share in cash and $15/share in preferred equity securities, the company said.
With the merger closed, Rohm and Haas stock will cease trading.
Shares of Dow traded at $8.68 as of 13:38 hours New York time (17:38 GMT), up 2.97%.
($1 = €0.75)
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