BASF submits bid for Degussa construction unit
Fri Jan 27, 2006 1:57 PM ET
FRANKFURT, Jan 27 (Reuters) - BASF, the world's top chemicals firm by sales, has submitted a bid for Degussa's construction chemicals unit, a spokesman said on Friday.
The spokesman declined to comment on the size of the bid.
A banking source told Reuters earlier in January that Degussa was inclined to sell the unit to BASF if its bid met a price threshold of 2.4-2.5 billion euros ($2.9-3.0 billion).
German media have said that Dow Chemical was also in the running for the construction chemicals purchase.
German mining group RAG [RUHR.UL], Degussa's main shareholder, is buying out the 43-percent stake held in Degussa by utility E.ON, and the sale of the construction chemicals unit is widely seen as intended to fund the purchase.
Engineering News Archive