US Georgia Gulf rejects unsolicited takeover bid by Westlake

17 January 2012 12:21  [Source: ICIS news]

LONDON (ICIS)--Georgia Gulf’s board of directors has rejected an unsolicited takeover bid by fellow US-based Westlake Chemical, it said late on Monday.

On 13 January, Westlake Chemical made a $30/share (€24/share) bid valued at more than $1bn (€780m) to acquire all outstanding shares of Georgia Gulf.

“After careful consideration, Georgia Gulf’s board determined that Westlake’s proposal is financially inadequate and not in the best interest of Georgia Gulf stockholders,” said Paul Carrico, Georgia Gulf’s president and CEO.

“We believe the Westlake proposal is an opportunistic attempt to acquire the company’s uniquely positioned assets as we recover from an unprecedented downturn in the industries we serve and a volatile public equity market, and thereby deprive our stockholders of the company’s inherent value,” he added.

($1 = €0.79)

By: Franco Capaldo
+44 (0)20 8652 3214

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