China Chemical (CHCC) has entered into a definitive merger agreement under which it will be merged with a subsidiary of New Source Holding (NSH), an entity created by certain stockholders of CHCC.
The contributing stockholders currently own approximately 79.15% of the outstanding shares of CHCC common stock.
The transaction is subject to customary closing conditions, including the condition that a majority of the outstanding shares of CHCC common stock vote in favour of the adoption of the merger agreement.
The deal is expected to close during Q4 2011, subject to the review and clearance of required filings by the Securities Exchange Commission.
CHCC is a manufacturer of organic chemical compounds used in high-performance plastics, PVC, elastic fibers, paints, tires, insulation, flooring, adhesives, medicines, food processing, ink and paper.
