Huntsman acquires assets from Tronox

Huntsman Corp. has signed a “stalking horse” asset and equity purchase agreement pursuant to which its wholly-owned subsidiary Huntsman Pigments LLC has agreed to acquire the following assets of Tronox Inc. and its subsidiaries under Section 363 of Chapter 11 of the US Bankruptcy Code: 1) titanium dioxide facilities in The Netherlands and the United States (excluding Savannah, Georgia); 2) a 50% joint venture interest in another titanium dioxide facility in Australia and associated mining and other operations; and 3) 3lectrolytic production facilities in the United States. Tronox’s JV partner in Australia, Exxaro Resources Ltd, has agreed to waive contractual restrictions on the transfer of Tronox’s JV interests to Huntsman, including applicable right of first refusal and change of control rights, in the event Huntsman is approved by the bankruptcy court as the buyer of the assets. Huntsman’s bid provides for a purchase price of approximately USD 415 million, including working capital. Huntsman intends to finance approximately 50% of the purchase price with debt. The agreement will be submitted for approval to the United States Bankruptcy Court for the Southern District of New York.
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