Shaun Currie, CFA
Long/short equity, hedge fund analyst, momentum

2014 Ira Sohn Contest Finalist: Long Chemtura Corp

2014 Ira Sohn Contest Finalist: Long Chemtura Corp

Executive Summary

  1. Over the past several years, the management team at Chemtura has done a great job of divesting non-core assets, improving its balance sheet, cutting costs, and streamlining its business to become a pure-play on industrial specialty chemicals. Yet, these actions seem to have gone unnoticed as the company still trades at a significant discount to its peers.
  2. The recent announcement of the sale of its AgroSolutions business will allow the company to both pay off debt, resulting in annual interest expense savings of $13.6MM, and initiate a stock repurchase tender offer for approximately one-third of the outstanding shares. We expect this tender offer to be completed at a 20-34% premium
...
Join Seeking Alpha PRO to read this archived article and 11,574 other archived articles
WITH SEEKING ALPHA PRO, INVESTORS CAN ALSO:
  • Access Top Ideas, chosen by Seeking Alpha’s editors
  • Filter long and short ideas by market cap and sector
  • Get Coverage of over 5,000 stocks, many of which have little or no coverage elsewhere
"In just the first month of using PRO, I used it to generate two ideas which were actionable for me. As a result of these two positions, I have earned more than 20 times the annual subscription costs for PRO." Michael Yagemann, Greenbridge Capital
"I am pleasantly surprised with the scope of small and mid-cap coverage PRO offers. You can't find that any where else." Patrick Rice, Mainstay Capital Management
100% Satisfaction Guaranteed
Money back guarantee. Seeking Alpha PRO members receive a no-questions-asked refund for membership on months paid and not used. Details