k - dow petrochemicals
dow' s tarragona, spain, site will become part of k - dow petrochemicals .
20081800: kuwait petroleum corporation; k - dow petrochemicals c. v. | federal trade commission
the dow chemical company effective ownership of k - d petrochemicals c. v. is 50% of which daulat holdco llc owns. 00058011% , dow plastics and chemicals holding b. v. owns. 00058011% , daulat canada holding lp owns. 00058011% and k - dow petrochemicals gmbh owns 99. 99651933% (dow petrochemicals holding llc owns 50% of k - dow petrochemicals gmbh. )
leaders at dow and petrochemical industries co. have signed a joint venture formation agreement to create k - dow petrochemicals, which will be the world' s leading supplier of petrochemicals and plastics .
“the formation of k - dow petrochemicals will be a critical milestone in dow’s transformation into an earnings growth company ,
said dow chemical ceo andrew liveris .
subramanian, guhan, and charlotte krontiris .
the k - dow petrochemicals joint venture .
harvard business school teaching plan 913 - 047, june 2013 .
dow and petrochemical industries company (pic) have announced that they have signed the joint venture formation agreement and other agreements regarding the formation of k - dow petrochemicals, a 50: 50 joint venture that is said to be the leading global supplier of petrochemicals and plastics .
subramanian, guhan, james k. sebenius, phillip andrews, rhea ghosh, and charlotte krontiris .
the k - dow petrochemicals joint venture .
harvard business school case 912 - 002, september 2011. (revised september 2013. )
k - dow will have an enterprise value of $ 17. 5bn and be a major producer of petrochemicals and plastics including polyethylene, ethylene amines, ethanolamines, polypropylene and polycarbonate .
the total enterprise value of the dow businesses going into k - dow is approximately $ 17. 4 billion .
according to dow, k - dow will have estimated sales of $ 11 billion, and with the addition of meglobal and equipolymers, the total annual revenue of k - dow will be $ 15 billion .
two of dow and pic’s existing jvs, meglobal and pet maker equipolymers, will be moved into k - dow, the partners said, taking estimated k - dow annual sales from $ 11bn to $ 15bn .
k - dow will be headquartered in southeast michigan, with operations beginning by jan. 1 .
k - dow will be a global supplier of essential petrochemicals and plastics and will manufacture and market polyethylene, ethyleneamines, ethanolamines, polypropylene and polycarbonate, and will also license polypropylene technology and market - related catalysts .
kuwait' s government backed out of the deal with dow late sunday, calling the k - dow petrochemicals joint venture
very risky
because of the global financial crisis and crude prices that have tumbled more than 70 percent since july .
guhan subramanian, james k. sebenius, phillip andrews, rhea ghosh and charlotte krontiris
“i am very pleased with the outcome of our due diligence and thorough preparation to launch k - dow petrochemicals. the k - dow joint venture will not only diversify kuwait’s national economy, but it will also position kuwait as a leader on the global business stage, ” said maha mulla hussain, chairman and managing director of pic. “through the k - dow joint venture, pic, in pursuit of its long - term strategy, will enter a new arena of petrochemical products based on leading global technologies. this represents the best option for pic to achieve a leading position in petrochemicals and to optimize growth between our connecting businesses of oil refining and basic petrochemicals while building on our long - standing, positive relationship with dow. ”
london (icis news) - - dow chemical has signed its pivotal agreement with kuwait ’s petrochemical industries co (pic) to create the $ 17. 4bn (€13. 7bn) k - dow petrochemicals joint venture, the us chemicals giant said on monday .
by guhan subramanian, james k. sebenius, phillip andrews, rhea ghosh and charlotte krontiris
dow and pic also announced that two of their existing 50 \ 50 joint ventures will be moved into k - dow: meglobal, a leader in ethylene glycol, and equipolymers, a supplier of pet resins. k - dow will have estimated sales of $ 11 billion and with the addition of meglobal and equipolymers the total annual revenue of k - dow will be $ 15 billion .
with k - dow expected to be an instant global petrochemical supplier. operations are expected to begin on that same date .
the deal between the us chemicals giant and petrochemical industries co (pic) to form k - dow petrochemicals, which was agreed in december 2007, collapsed just days before it was to close at the end of last year when the kuwaiti company pulled out .
midland - based dow had expected more than $ 7 billion in pretax proceeds from the $ 17. 4 billion k - dow partnership, which was to have begun thursday. k - dow was to produce plastics for everyday items such as shopping bags, cups and dvds .
dow and pic also announced on monday that two of their existing 50: 50 joint ventures would be moved into k - dow. these include meglobal, a producer of ethylene glycol, and equipolymers, a supplier of pet resins. dow noted that k - dow will have estimated sales of $ 11 billion and with the addition of the two joint ventures, k - dow will have total annual revenue of $ 15 billion .
the activities of kuwait petroleum corporation (kpc) are focused on petroleum exploration, production, petrochemicals, refining, marketing, and transportation .
as a part of the joint - venture formation two of dow chemical' s current joint - ventures kuwait petroleum corporation were transferred to k - dow .
earlier this month kuwait’s state - run petrochemical industries co (pic) signed a deal with dow to launch the joint venture, k - dow petrochemicals, and was due to pay $ 7. 5 billion. the deal was part of dow’s strategy to reduce its exposure to the cyclical nature of the commodity chemicals business .
the reversal is a setback for dow, the chemicals giant based in midland, mich. the joint venture, called k - dow petrochemicals, was seen as an important way for dow to reduce its exposure to the ups and downs of the commodities business, as well as to raise cash to defray the cost of dow’s pending $ 15 billion acquisition of rival
k - dow petrochemicals private limited' s annual general meeting (agm) was last held on 2010 - 09 - 30. as per records from ministry of corporate affairs (mca), this company' s balance sheet was last filed on 2010 - 03 - 31 .
subramanian, guhan, james k. sebenius, phillip andrews, rhea ghosh, and charlotte krontiris .
the dow chemical company effective ownership of dow petrochemicals holding llc is 100% of which the dow chemical company owns 25% , dow global technologies inc. owns 25% , union carbide corporation owns 25% and union carbide chemicals & plastics technology llc owns 25% .
in the third quarter 2008 earnings conference call dow chemical officials stated the k - dow joint venture is on track to close by the end of the year. on
dow expects to receive $ 9bn in total pre - tax proceeds related to the transaction, including a special cash distribution from k - dow of $ 1. 5bn .
midland, mi / kuwait city, kuwait - the dow chemical co. (dow) and petrochemical industries co. (pic), a wholly owned subsidiary of kuwait petroleum corp. (kpc), have signed the joint venture formation agreement and other key definitive agreements regarding the formation of k - dow petrochemicals, a 50 / 50 joint venture that will be a global supplier of petrochemicals and plastics. it is expected that the new company will begin operations no later than jan. 1, 2009 .
dow chemical company and petrochemical industries company, a wholly owned subsidiary of kuwait petroleum corporation, signed a joint venture formation agreement and other key definitive agreements regarding the formation of k - dow petrochemicals, a 50 / 50 joint venture that was going to be a global supplier of petrochemicals and plastics. the new company was to begin operations in 2009. subsequently, however, the deal was cancelled by petrochemical industries company due to opposition in kuwait' s parliament. pestalozzi acted as swiss counsel to dow chemical .
“the signing of these documents is the critical step in the formation of k - dow, which will immediately become a leading petrochemicals supplier globally, ” said andrew n. liveris, dow chairman and chief executive officer. “the formation of k - dow petrochemicals will be a critical milestone in dow’s transformation into an earnings growth company. this is a giant step in our strategy of growing our basics businesses through joint ventures, reducing our capital intensity, and freeing up $ 9 billion in pre - tax cash proceeds to invest in our performance businesses. we have effectively set the stage for our next major landmark – completing the proposed acquisition of rohm and haas in early 2009. ”
rohm & haas said it
continues to work diligently
to complete the acquisition, which it said the k - dow venture does not affect .
in july, dow and pic named james fitterling as the ceo of k - dow and also announced the selection of michigan as the location of the world headquarters for the joint venture .
chemical and agricultural products manufacturer dow chemical co. (dow) said on monday that it has signed binding agreements for the formation of k - dow petrochemicals, a joint venture with petrochemical industries co. , a wholly - owned subsidiary of kuwait petroleum corp. the company noted that the 50: 50 joint venture will be a supplier of essential petrochemicals and plastics that will be used in consumer products, automotive parts and drug processing. confirming earlier media reports, dow chemical has accepted a lower price for a 50% stake in the joint venture due to the global recession and lower oil prices .
the company is made up of the following subsidiaries: kuwait oil company (koc), kuwait national petroleum company (knpc), petrochemicals industries company (pic), kuwait oil tanker company (kotc), kuwait aviation fueling company (kafco), kuwait foreign petroleum exploration company (kufpec), kuwait petroleum international limited (kpi - q8), santa fe international corporation (sfic), kuwait gulf oil company (kgoc), oil sector services company and k - dow petrochemicals .
the company recently received $ 2. 2 billion for damages in cash from its kuwaiti partner - - one of the largest ever from a corporate arbitration - - after the state - owned firm pulled out at the last minute from a $ 17. 4 billion deal to create a joint venture called k - dow petrochemicals .
in the face of tough economic conditions, dow chemical is moving ahead with the formation of its k - dow petrochemicals joint venture with kuwait' s petrochemical industries co. , but not before shaving $ 2. 0 billion off pic' s bill. dow says it is set to complete the deal at the end of the year and to finish buying rohm and haas in the first quarter of 2009 .
andrew liveris, chairman and ceo of dow chemicals said ,
the formation of k - dow petrochemicals will be a critical milestone in dow' s transformation into an earnings growth company. this is a giant step in our strategy of growing our basics businesses through joint ventures, reducing our capital intensity, and freeing up $ 9 billion in pre - tax cash proceeds to invest in our performance businesses .
k - dow' s products will include polyethylene, ethyleneamines, ethanolamines, polypropylene and polycarbonate. it also will license polypropylene technology and market - related catalysts .
james k. sebenius, r. nicholas burns and robert h. mnookin (with a forward by henry a. kissinger )
the new company had been due to market petrochemicals and plastics such as polyethylene, polypropylene and polycarbonate, used in products ranging from plastic bottles and compact disks to computers and agricultural compounds .
the k - dow deal' s collapse hits michigan' s efforts to diversify its auto - heavy economy. k - dow was to have headquartered in wayne county, the heart of the state' s auto industry. officials had projected the site would employ as many as 800 workers. the state has an unemployment rate of 9. 6 percent .
maha mulla hussain, chairman and managing director of pic, said k - dow will diversify kuwait' s national economy and position kuwait as a leader on the global business stage .
sebenius, james k. , r. nicholas burns, and robert h. mnookin (with a forward by henry a. kissinger) .
kevin w. mccarthy, a stock analyst with banc of america securities, pointed out in a report to clients that the rohm and haas purchase is a firm agreement, whereas the k - dow deal had been, until last week, only a memorandum of understanding .
there was brewing concern about the k - dow deal—and by extension the rohm and haas deal—given dislocation of the markets ,
he wrote. inking an agreement with pic
allays concerns
that the rohm and haas deal would close without the k - dow transaction, a scenario that would have strapped dow with far more debt, he wrote .
the gross payment by pic for the joint venture is expected to be about $ 7. 5 billion, with a net payment of $ 6 billion that includes the cash distribution from k - dow .
the dow chemical company effective ownership of dow saudi arabia company is 100% of which dow europe holding b. v. owns 85% and dow interbranch b. v. owns 15% .
the dow chemical company effective ownership of dow olefinverbund gmbh is 100% of which dow europe holding b. v. owns 95% and dow beteiligungsgesellschaft mbh & co. kg owns 5% .
the deal is dow' s largest joint venture in its history, but not its first with pic, which is a subsidiary of kuwait petroleum corp. two of the companies' existing joint ventures - meglobal and equipolymers - will be moved into k - dow .
the dow chemical company effective ownership of dow quimica de colombia s. a. is 100% of which the dow chemical company owns 90% and dow chemical inter - american limited owns 10% .
the dow chemical company effective ownership of pt dow indonesia is 100% of which dow chemical pacific (singapore) private limited owns 99% and dow chemical (singapore) private limited owns 1% .
the dow chemical company effective ownership of dow chemical east africa limited is 100% of which dow europe holding b. v. owns 90% and dow interbranch b. v. owns 10% .
the dow chemical company effective ownership of dow chemical korea limited is 100% of which the dow chemical company owns 85. 82% and dow europe holding b. v. owns 14. 18% .
the dow chemical company effective ownership of dow egypt services limited is 100% of which dow mideast systems s. a. e. (jsc) owns 75% and dow europe gmbh owns 25% .
the k - dow joint venture will not only diversify kuwait ’s national economy, but it will also position kuwait as a leader on the global business stage, ” said pic chairman and managing director maha mulla hussain .
the midland, michigan - based dow chemical noted that the total enterprise value of k - dow is about $ 17. 4 billion, which equates to $ 8. 72 billion for each shareholder. the company said that the final proceeds of the transaction include usual adjustments of $ 1. 2 billion, related to working capital and net debt. on closing of the transaction, each shareholder plans to receive a $ 1. 5 billion special cash distribution that will be paid by k - dow .
k - dow closing in this way—where our pretax proceeds are on the order of magnitude not too far different than what we imagined prior to this economic meltdown—is a terrific win for us ,
dow ceo andrew n. liveris told stock analysts on a conference call last week .
the $ 2. 2 billion in cash dow received after a four - year arbitration process is some $ 300 million less than dow' s original claim. dow had been relying on the expected $ 9 billion proceeds from the k - dow venture to fund its purchase of rohm & haas co. dow subsequently retained the plastics unit, though was forced to divest assets with annual revenue of around $ 8 billion to finance the rohm & haas transaction .
in december 2007, dow agreed to sell its plastics assets for $ 9. 5 billion to petrochemical industries co. or pic, to form a joint petrochemicals venture. as per the joint venture, pic will acquire a 50% interest in five of dow' s global businesses having an aggregate value of $ 19 billion. in turn, dow would gain greater access to emerging market growth and petrochemical materials used in its products .
dow corning corporation is a 50% - owned, nonconsolidated affiliate of the dow chemical company and is accounted for on the equity basis. as a significant subsidiary, separate financial statements for dow corning corporation are presented in this annual report on form 10 - k pursuant to rule 3 - 09 of regulation s - x. subsidiaries of dow corning corporation, if any, are not listed in this exhibit 21 .
maha mulla hussain, chairman and managing director of pic, said ,
the k - dow joint venture will not only diversify kuwait' s national economy, but it will also position kuwait as a leader on the global business stage .
the dow chemical company effective ownership of dow international holdings s. a. is 100% of which dow dutch holding b. v. owns 99. 824% and dow chemical international ltd. owns 0. 176% .
the total enterprise value of the dow businesses going into k - dow is approximately $ 17. 4 billion. this equates to $ 8. 72 billion for each shareholder. the final proceeds of the transaction include usual adjustments of $ 1. 2 billion, related to working capital and net debt .
in 2007, the dow chemical company and the kuwait petroleum corporation announced plans to launch a multibillion - dollar joint venture. later known as k - dow petrochemicals, it would be one of the largest manufacturers of chemicals and plastics in the world. analysts widely hailed the planned joint venture as a game - changing deal for both companies. shortly after the announcement, cable network cnbc requested an interview with andrew liveris, dow' s ceo, about this massive transaction. liveris needed to decide how to respond. this case provides a brief background on the industry, both companies, and plans for the joint venture as of january 2008 .
the dow chemical company effective ownership of dow agrosciences bolivia s. a. is 100% of which dow agrosciences b. v. owns 99% , dow agrosciences argentina s. a. owns 0. 5% and dow agrosciences paraguay s. a. owns 0. 5% .
the dow chemical company effective ownership of dow agrosciences paraguay s. a. is 100% of which dow agrosciences b. v. owns 99. 99% and dow agrosciences argentina s. a. owns 0. 01% .
forming k - dow is critical for dow because the company needs the money to complete its $ 18. 8 billion acquisition of specialty chemical giant rohm and haas. liveris admitted on the conference call that, given the financial crisis, his two most - asked questions have been about the future of each deal .
the dow chemical company effective ownership of dow turkiye kimya sanayi ve ticaret ltd sirketi is 100% of which dow europe holding b. v. owns 99. 9988% and dow interbranch b. v. owns 0. 0012% .
as part of the agreement, announced this morning, pic is expected to pay dow about $ 7. 5 billion, which is about $ 2 billion less than was anticipated when the companies announced their plans in december 2007. in addition, k - dow itself will make special cash distributions of $ 1. 5 billion to both dow and pic when the deal closes .
the dow chemical company effective ownership of dow chemical international pvt. ltd. is 100% of which dow chemical pacific (singapore) private limited owns 99. 99% and dow chemical (singapore) private limited owns 0. 01% .
the dow chemical company effective ownership of dow mideast systems s. a. e. (jsc) is 100% of which dow europe holding b. v. owns 99. 96% , dow europe gmbh owns 0. 020% and dow interbranch b. v. owns 0. 020% .
the dow chemical company effective ownership of pacific plastics (thailand) limited is 100% of which dow chemical international ltd. owns 51% and the dow chemical company owns 49% .
the dow chemical company effective ownership of dow zwijndrecht b. v. b. a. is 100% of which dow europe holding b. v. owns 99. 65% and dow interbranch b. v. owns 0. 35% .
the dow chemical company effective ownership of dow technology investments llc is 100% of which dow global technologies inc. owns 50% and union carbide chemicals & plastics technology llc owns 50% .
the new company is expected to commence operations no later than january 1, 2009, with closing on that date as articulated in the mou announcement in december 2007. k - dow will manufacture and market polyethylene, ethyleneamines, ethanolamines, polypropylene and polycarbonate, and will also license polypropylene
in 2007, the dow chemical company and the kuwait petroleum corporation announced plans to launch a multibillion - dollar joint venture. later known as k - dow petrochemicals, it would be one of the largest manufacturers of chemicals and plastics in the world. analysts widely hailed the planned joint venture as a game - changing deal for both companies. shortly after the announcement, cable network cnbc requested an interview with andrew liveris, dow' s ceo, about this massive transaction. liveris needed to decide how to respond. this case provides a brief background on the industry, both companies, and plans for the joint venture as of january 2008. learning objective: to provide background of a major, large, international joint venture deal .
the dow chemical company effective ownership of dow venezuela, c. a. is 100% of which dow agrosciences b. v. owns 53. 84% , the dow chemical company owns 36. 06% and union carbide corporation owns 10. 1% .
the dow chemical company effective ownership of dow izolan ooo is 58% via its ownership interest in rus polyurethanes holding b. v .
the dow chemical company effective ownership of santa vitoria acucar e alcool ltda. is 100% of which dow brasil s. a. owns 50% and dow interbranch b. v owns 50% .
dow chairman and ceo andrew liveris said the agreements are a
critical milestone
in dow' s transformation into an earnings growth company .
the dow chemical company effective ownership of dc spectrum holding c. v. is 100% of which dow international holdings company owns 99. 999% and dow netherlands holdings llc owns 0. 001% .
the dow chemical company effective ownership of dow izolan ukraine llc is 58% via its ownership interest in rus polyurethanes holding b. v .
the dow chemical company effective ownership of dow mf produktion gmbh & co. ohg is 100% of which safechem europe gmbh owns 70% and dow mf verwaltungs gmbh owns 30% . dow europe holding b. v. acts as a general partner with 0% capital participation .
the dow chemical company effective ownership of dow deutschland vertriebs gmbh & co. ohg is 100% of which safechem europe gmbh owns 70% and dow deutschland verwaltungs vertriebs gmbh owns 30% . dow europe holding b. v. acts as a general partner with 0% capital participation .
the dow chemical company effective ownership of dow agrosciences argentina s. a. is 100% of which dow agrosciences b. v. owns 89. 13% and agrigenetics, inc. owns 10. 87% .
the dow chemical company effective ownership of dow international holdings company is 100% of which the dow chemical company owns 72. 0268% , union carbide corporation owns 19. 1341% , essex specialty products llc owns 8. 7988% and dow chemical international ltd owns 0. 0403% .
dow said on monday that it now expects to receive $ 9 billion in total pre - tax proceeds related to the transaction, down from the previously agreed $ 9. 5 billion. this includes the cash distribution of $ 1. 5 billion from k - dow. reports earlier on monday said that dow agreed to a lower price on the deal as the global recession has reduced the value of its plastics unit while falling oil prices have hurt kuwait' s
the contract between dow chemical and petrochemical industries co (pic) was entirely appropriate, as was dow' s conduct ,
it said .
the dow chemical company effective ownership of dow peru s. a. is 100% of which the dow chemical company owns 91. 21% and union carbide inter - america, inc. owns 8. 79% .
these companies are 50% - owned, nonconsolidated affiliates of the dow chemical company and are accounted for on the equity basis. separate financial statements for these companies are not included in this annual report on form 10 - k. these companies are not controlled, directly or indirectly, by the dow chemical company. subsidiaries of these companies, if any, are not listed in this exhibit 21 .
the dow chemical company effective ownership of dow quimica mexicana s. a. de c. v. is 100% of which the dow chemical company owns 84. 58% and union carbide corporation owns 15. 42% .
the dow chemical company effective ownership of dow agrosciences india pvt. ltd. is 100% of which dow agrosciences agricultural products limited owns 99. 99% and das agricultural investment holding company ltd. owns 0. 01% .
dow, jacobs, smithsonian present sseats opportunity to stem educators; teache. .
dow mideast systems s. a. e. (jsc) (2 )
dow quimica mexicana s. a. de c. v. (16 )
the dow chemical company effective ownership of dc galaxy holding c. v. is 100% of which dow international holdings s. a. owns 99. 928% and dow dutch holding b. v. owns 0. 072% .
originally, pic was set to fork over $ 9. 5 billion for a 50% stake in dow' s petrochemical business. now, it will pay dow $ 7. 5 billion. in addition, the newly formed k - dow will pay each partner $ 1. 5 billion. thus, pic' s net payment will be $ 6. 0 billion. dow will rake in pretax revenues of $ 9. 0 billion from the transaction. that' s a decrease of only $ 500 million from what it would have gained from the deal' s original terms. dow says its after - tax proceeds will be about $ 7 billion .
the dow chemical company effective ownership of ion holdings llc is 100% of which the dow chemical company owns 60% and rofan services inc. owns 40% .
the dow chemical company effective ownership of polyol belgium b. v. b. a. is 100% of which dow benelux b. v. owns 99. 5% and dow europe holding b. v. owns 0. 5% .
this case follows a two - part deal involving dow chemicals: dow' s ill - fated joint venture with the kuwait petroleum corporation, the failure of which nearly scuttled dow' s simultaneous acquisition of rohm & haas. focusing on dow ceo andrew liveris, this case examines the strategic interplay between private negotiations and their public presentation .
dow chemical: rgs energys powerhouse solar shingle system passes ul class a fir. .
the dow chemical company effective ownership of chemtech ii l. p. is 100% of which dow chemical delaware corp. owns 72. 46% , the dow chemical company owns 22. 39% and ifco inc. owns 5. 15% .
the dow chemical company effective ownership of dowbrands l. p. is 100% of which dow holdings llc owns 58% and dc partnership management inc. owns 42% .
liveris told stock analysts that he is proud he could fulfill his promise to complete the deal as scheduled .
when we said we would close k - dow by year - end, no one anticipated the global meltdown that would occur in september and october ,
he said .
this deal was closed in an economic environment that none of us have seen in our lifetime .
the dow chemical company effective ownership of dow quimica argentina s. a. is 100% of which the dow chemical company owns 76. 70% , union carbide corporation owns 23. 20% and union carbide pan america, inc. owns 0. 10% .
the dow chemical company effective ownership of dow stade produktions gmbh & co. ohg is 100% of which safechem europe gmbh owns 70% and angus chemie gmbh owns 30% . dow europe holding b. v acts as a general partner with 0% capital participation .
the dow chemical company effective ownership of dow wolff cellulosics gmbh & co. ohg is 100% of which angus chemie gmbh owns 50% and safechem europe gmbh owns 50% . dow europe holding b. v. acts as general partner with 0% capital participation .
the dow chemical company effective ownership of dml holding inc. is 100% of which the dow chemical company owns 88. 84% and union carbide corporation owns 11. 16% .
the dow chemical company effective ownership of dow investment argentina s. a. is 100% of which 3229809 nova scotia company owns 97% and daulat canada holding lp owns 3% .
dow would not comment on the failure of the joint venture or negotiations with rohm & haas .
dow clearly doesn' t want to back itself into a corner ,
rogers said .
the dow chemical company effective ownership of pbbpolisur s. a. is 100% of which dow investment argentina s. a. owns 72% and 3229809 nova scotia company owns 28% .
the dow chemical company effective ownership of daulat canada holding lp is 100% of which dow canada holding lp owns 99. 9999% and 3243425 nova scotia company owns 0. 0001% .
dow chemical said sunday that the government in kuwait had changed its mind and chosen to scrap the $ 17. 4 billion joint venture between dow and the kuwaiti state - run petrochemical industries company .
dow chemical co. (dow) said it will use part of a recent arbitration payment from the petrochemical industries company of kuwait to pay down up to $ 2 billion in debt this year .
the dow chemical company effective ownership of modeland international holdings inc. is 100% of which dow chemical finance canada ulc owns 59. 1% and union carbide corporation owns 40. 9% .
the dow chemical company effective ownership of dow quimica chilena s. a. is 100% of which the dow chemical company owns 89. 81% , union carbide inter - america, inc. owns 10. 16% and union carbide pan america, inc. owns 0. 03% .
in response dow chemical released a statement saying it was highly offended about any suggestion of improper action .
the dow chemical company effective ownership of battleground water company is 60. 61% of which rohm and haas texas incorporated owns 51. 77% and the dow chemical company owns 8. 84% .
the dow chemical company effective ownership of chemtech portfolio inc. is 100% of which dow global technologies inc. owns 66. 82% and chemtech ii l. p. owns 33. 18% .
this list includes companies for which the effective ownership by the dow chemical company is 50 percent or more .
the dow chemical company effective ownership of dow agrosciences llc is 100% of which mycogen corporation owns 51% , centen ag inc. owns 38. 91% and rofan services inc. owns 10. 09% .
the dow chemical company effective ownership of coöperatieve dc prisma holding u. a. is 100% of which dc spectrum holding c. v. owns 99. 999% and dow netherlands investments llc owns. 001% .
dow did not return calls seeking clarification about whether the deal’s collapse would affect its plans to buy rohm & haas .
dow is expected to put the money toward its purchase of rohm & haas, a philadelphia - based chemical company that will help dow avoid the cyclical nature of the chemical industry. that deal is expected to be finalized in early 2009 .
the dow chemical company effective ownership of dowbrands inc. is 100% of which dow international holdings company owns 79% , mycogen corporation owns 11% , centen ag inc. owns 8% and rofan services inc. owns 2% .
the dow chemical company effective ownership of gwn holding, inc. is 100% of which the dow chemical company owns 66. 23% , essex specialty products llc owns 26. 93% and union carbide corporation owns 6. 84% .
the dow chemical company effective ownership of dow canada holding lp is 100% of which rohm and haas canada investments inc. / placements rohm et haas canada inc. owns 99. 9999% and 3243425 nova scotia company owns 0. 0001% .
the dow chemical company effective ownership of siam polyethylene company limited is 50% of which daulat canada holding lp owns 49% and sd group service co. ltd. , which is 50% - owned by the dow chemical company, owns 2% .
dow agreed to buy rohm & haas for $ 15. 3 billion in july in a move to broaden its specialty product offerings .
the dow chemical company effective ownership of dexco polymers lp is 50% of which dw dexco investment llc owns 49. 5% and dexco polymers operating company llc owns 1% . (the dow chemical company owns 50% of dexco polymers operating company llc) .
a $ 17. 4 billion part of the dow chemical co.' s plan to transform the chemical giant is now in place .
but a binding agreement on the venture’s terms was not reached until a year later, when global demand for many of dow’s products had plunged .
dow will have $ 29. 6 billion of debt on its balance sheet, analysts said, if it doesn' t rework the rohm & haas deal. that could jeopardize dow' s investment - grade rating, said john rogers, an analyst with moody' s investors service .
the rohm & haas deal carries a termination fee of $ 750 million for dow, according to a securities and exchange commission filing in september .
kuwait, dec 28 (reuters) - kuwait decided on sunday to scrap a deal to form a $ 17. 4 billion petrochemical joint venture with dow chemical dow. n, potentially upsetting the largest u. s. chemicals company’s plans to buy rival rohm & haas roh. n .
the dow chemical company effective ownership of fort saskatchewan ethylene storage limited partnership is 50% of which dow chemical canada ulc owns 49. 9% and fort saskatchewan ethylene storage corporation owns 0. 2% . (midland pipeline corp. owns 50% of fort saskatchewan ethylene storage corporation. )
dow said earlier this month it was planning to pursue legal action against the pic to recoup a breakup fee of about $ 2. 5 billion .
shares of dow edged down 15 cents to $ 34. 95 in recent trading. the stock has risen 11% in the past 12 months .
but the dow joint venture angered some kuwaiti parliamentarians who said the project was not economically viable in light of the global financial crisis and slumping petrochemical sales .
there appears to be no way for dow to unilaterally walk away from and / or terminate the merger agreement with rohm & haas ,
begleiter said .
the dow chemical company effective ownership of valuepark terneuzen c. v. is 50% of which terneuzen partnership services b. v. owns 49. 82% and valuepark terneuzen beheer b. v. owns 0. 36% . (dow benelux b. v. owns 50% of valuepark terneuzen beheer bv) .
dow said, however, that it is expected the agreement with pic will close no later than 1 january 2009 and the new company would begin operations on that date .
“it is doubtful that dow will be able to easily raise the funds and might opt to pay a cancellation fee, ” an egan - jones rating co report said .
dow said it was “extremely disappointed with the decision by the kuwait government, and is in the process of evaluating its options pursuant to the joint venture formation agreement. ”
these companies are 50% - owned, consolidated affiliates of the dow chemical company. subsidiaries of these companies, if any, are not listed in this exhibit 21 .
many felt that dow overpaid in the deal in the first place, so now it would seem the path to rohm & haas is not so clear ,
said steve anderson, branch manager and senior vice president of the hilliard lyons office at 4835 towne centre in saginaw township. he manages 150, 000 shares of dow stock for clients .
dow - moves - two - big - deals | december 8, 2008 issue - vol. 86 issue 49 | chemical & engineering news methyl iodide fumigant | chemical & engineering news
dow also announced in july that it agreed to acquire all outstanding shares of rohm and haas for $ 78 per share, or $ 18. 8 billion in cash. the proposed acquisition of rohm and haas will make dow the world' s leading specialty chemicals and advanced materials company. the merger is expected to close in early 2009, pending regulatory approvals .
dow and other chemical makers around the globe face one of the worst slumps ever in chemical demand, due to recessions in most developed countries and a sharp slowdown in emerging economies .
the dow chemical company effective ownership of mycogen corporation is 100% of which rofan services inc. owns 88. 11% and centen ag inc. owns 11. 89% .
the dow chemical company effective ownership of rohm and haas chile limitada is 100% of which rohm and haas company owns 99% and charles lennig & company llc owns 1% .
the failure of the joint venture left dow without the $ 7 billion it expected from the deal on the eve of closing its acquisition of rohm & haas for $ 15. 4 billion .
dow chemical has rejected accusations by members of the kuwaiti parliament that it paid bribes to secure a $ 17. 4 billion joint venture with a state - owned company, it was reported saturday .
in a statement sunday, dow said it was “extremely disappointed” with the kuwaiti government’s decision and was evaluating its options regarding the joint venture deal, which was scheduled to close on jan 1, 2009 .
the dow chemical company effective ownership of rohm and haas colombia ltda is 100% of which rohm and haas company owns 94. 899867% and charles lennig & company llc owns 5. 100133% .
dow has agreed to buy the us - based specialty chemicals maker in a deal valued at $ 18. 8bn and merge rohm and haas into a new, market - facing materials business for the group .
dow has been focused on reducing debt as it also wrestles with tough market conditions facing the global chemical industry, with analysts expecting the company to report full - year earnings of $ 2. 9 billion .
in a separate statement, rohm & haas said completion of dow’s joint venture was not a condition for the closing of its takeover. it said it continued to work diligently to complete its deal in early 2009 .
the dow chemical company effective ownership of mycogen s. a. de c. v. is 100% of which mycogen crop protection, inc. owns 99% and agrigenetics, inc. owns 1% .
the dow chemical company effective ownership of rohm and haas australia pty. ltd. is 100% of which rohm and haas company owns 99. 999867% and charles lennig & company llc owns. 000133% .
the dow chemical company effective ownership of rohm and haas european holding aps is 100% of which rohm and haas equity corporation owns 99. 999347% and rohm and haas denmark investments llc owns. 000653% .
the dow chemical company effective ownership of pt. rohm and haas indonesia is 100% of which rohm and haas denmark finance a / s owns 99% and rohm and haas denmark china investment aps is 1% .
the dow chemical company effective ownership of rohm and haas international snc is 100% of which rohm and haas denmark holding company aps owns 99. 99999% and rohm and haas europe sales aps owns. 0001% .
the dow chemical company effective ownership of rohm and haas electronic materials singapore pte. ltd. is 100% of which rohm and haas electronic materials asia limited owns 50% and rh asia holding gmbh owns 50% .
the collapse of a joint venture with a state - owned kuwaiti company may make dow chemical co. less willing to pay the $ 15. 3 billion it agreed to last summer for specialty chemical company rohm & haas .
dow shares tumbled 19 percent, or $ 3. 60, to $ 15. 32 on monday. shares of rohm & haas fell 16 percent, or $ 10. 22, to $ 53. 34 monday .
the dow chemical company effective ownership of rohm and haas investments holdings inc. is 90. 909% of which rohm and haas company owns 63. 6363% and rohm and haas texas incorporated owns 27. 2727% .
if the company must accept the deal on the original terms, that could threaten shareholder dividends, said banc of america securities analyst kevin mccarthy in a note to investors. dow has issued a quarterly dividend for nearly a century .
the dow chemical company effective ownership of rohm and haas holdings ltd. is 100% of which rohm and haas (bermuda), ltd. owns 99. 971725% and rohm and haas credit llc owns. 028275% .
the dow chemical company effective ownership of rohm and haas bermuda gp is 100% of which rohm and haas bermuda partner ii gp owns 52. 80% and rohm and haas denmark bermuda gp aps owns 47. 20% .
kuwait and dow had lowered the value of the joint venture more than 8 percent to $ 17. 4 billion earlier this month after the gulf arab state asked to cut its contribution in light of a sharp slowdown in global demand .
earlier this month, dow chemical co. said it would continue to contest its involvement in an alleged price - fixing ring after a federal judge ordered the company to pay $ 1. 2 billion in damages, tripling a jury award .
the dow chemical company effective ownership of rohm and haas kimya sanayi limited sirketi is 100% of which rohm and haas denmark holding company aps owns 99. 9992% and rohm and haas denmark finance a / s owns. 0008% .
the dow chemical company effective ownership of rohm and haas kimya ticaret limited sirketi is 100% of which rohm and haas denmark holding company aps owns 99. 9999% and rohm and haas denmark finance a / s owns. 0001% .
the dow chemical company effective ownership of rohm and haas bermuda partner ii gp is 100% of which rohm and haas denmark finance a / s owns 99. 999999% and rohm and haas denmark china investment aps owns. 000001% .
dow intends to use proceeds from the deal to repay a large part of the debt that it will have to repay to close the acquisition of rohm and haas co. (roh), a provider of specialty materials, in early 2009 .
the 50 - 50 joint venture to produce polyethylene and other plastics was originally announced in december 2007. at the time, dow’s chief executive, andrew n. liveris, said the venture would immediately become “the player in the petrochemical field. ”
kuwait' s parliament voted overwhelmingly this week to investigate
suspicions of profiteering and accepting all forms of commissions by oil executives
involved in several deals, including the plastics joint venture with dow, according to the kuwait daily the kuwait times .
the dow chemical company effective ownership of rohm and haas argentina s. r. l. is 100% of which rohm and haas denmark finance a / s owns 89. 9942% and rohm and haas company owns 10. 0058% .
the dow chemical company effective ownership of rohm and haas canada lp is 100% of which rohm and haas canada investments inc. / placements rohm et haas canada inc. owns 99. 99% and 3243425 nova scotia company owns. 01% .
the dow chemical company effective ownership of rohm and haas (india) pvt. ltd. is 100% of which rohm and haas india investment aps owns 99. 9860% and rohm and haas denmark finance a / s owns. 0140% .
friday, mr. liveris noted that dow has maintained full ownership of its plastics franchise, saying the business has
delivered exceptional returns and is poised for even further margin expansion due to positive exposure to shale - gas and ethylene value chain dynamics .
saying that rohm & haas would allow it to cut costs and provide a cushion from the volatile basic chemicals market, dow initially agreed to pay $ 78 per share, a huge premium over rohm & haas' $ 44. 83 july 9 closing price .
the cancellation of the deal, which had met opposition in kuwait’s parliament, was acknowledged by dow, which had planned to use the proceeds to repay a large part of $ 13 billion in debt it will have to shoulder once its acquisition of rohm & haas closes .
the dow chemical company effective ownership of rohm and haas chemicals llc is 100% of which rohm and haas holdings llc owns 76. 80153% , rohm and haas company owns 23. 13014% and rohm and haas latin america, inc. owns. 06833% .
the dow chemical company effective ownership rohm and haas mexico, s. de r. l. de c. v. is 100% of which rh dk mexico holding aps owns 99. 999999% and rohm and haas denmark china investment aps owns. 000001% .
the dow chemical company effective ownership of rohm and haas kimyasal urunler uretim dagitim ve ticaret a. s. is 60% of which rohm and haas denmark holding company aps owns 59. 9993% and rohm and haas denmark finance a / s owns. 0007% .
. the company and other chemical makers are facing a slump in global demand for chemicals. in november, dow said that it would take bold and proactive measures, including options to reduce costs and eliminate or defer capital spending, to manage its transformation through the challenging times .
the dow chemical company effective ownership of rohm and haas latinoamerica, s. de r. l. de c. v. is 100% of which rohm and haas denmark finance a / s owns 99. 999999% and rohm and haas denmark china investment aps owns. 000001% .
polyethylene is the most widely used of all plastics and can be found in everyday products from food packaging, milk jugs and plastic containers to pipes and liners, according to dow. polypropylene is used in fibers, packaging films, non - wovens, durable goods, automotive parts and consumer applications .
dow agreed to pay a 74 percent premium for philadelphia - based rohm & haas in july as it, and other chemical makers, faced unprecedented energy and carbon - based feedstock costs. since, crude has fallen to levels last seen in 2004, and credit markets that fueled a buyout frenzy have frozen .
the dow chemical company effective ownership of rohm and haas bermuda partner i gp is 100% of which rohm and haas denmark bermuda holding company aps owns 53. 751817% , rohm and haas denmark finance a / s owns 46. 248181% and rohm and haas denmark china aps owns. 000002% .
in monday' s regular trading session, dow is trading at $ 18. 28, down $ 0. 27 or 1. 46% on a volume of 4. 77 million shares. the stock has been trading in a range of $ 16. 41 - $ 45. 50 in the past 52 weeks .
kuwait did the right thing. they were being pressured to pay 7 biilion plus to a joint venture while dow was contributing basically junk on their side. as for being against foreign government intervention, let’s all remember how the u. s. gov. cancelled the dubai world ports deal simply because the owners were arab .
citi investment research analyst p. j. juvekar wrote to investors that dow should protect shareholders by cutting the rohm & haas deal
at a lower price or walking away from the deal by paying a breakup fee .
he acknowledged, however, the deal does not contain a
buyer' s remorse
clause .
the dow chemical company effective ownership of rohm and haas equity corporation is 100% of which rohm and haas credit llc owns 82. 731264% , rohm and haas chemicals llc owns 12. 666042% , rohm and haas electronic materials llc owns 3. 031015% and rohm and haas company owns 1. 571679%.
k-dow petrochemicals was a planned $ 17.4 billion joint venture between the dow chemical company and petrochemical industries company ( pic ) of the state of kuwait , a wholly owned subsidiary of kuwait petroleum corporation ( kpc ) . a joint venture between the two companies was signed in july 2008 . however , critics to the deal from members of the kuwaiti parliament . leading to its collapse in december 2008 . dow sued pic , and was awarded over $ 2 bn damages by a non-governmental court in 2012 . 
k-dow petrochemicals was a planned $ 17.4 billion joint venture between the dow chemical company and petrochemical industries company (pic) of the state of kuwait, a wholly owned subsidiary of kuwait petroleum corporation (kpc). a joint venture between the two companies was signed in july 2008. however, critics to the deal from members of the kuwaiti parliament. leading to its collapse in december 2008. dow sued pic, and was awarded over $ 2 bn damages by a non-governmental court in 2012.
k-dow petrochemicals was a planned $ 17.4 billion joint venture between the dow chemical company and petrochemical industries company (pic) of the state of kuwait, a wholly owned subsidiary of kuwait petroleum corporation (kpc). a joint venture between the two companies was signed in july 2008. however, critics to the deal from members of the kuwaiti parliament. leading to its collapse in december 2008. dow sued pic, and was awarded over $ 2 bn damages by a non-governmental court in 2012.