Tronox Is Priced For Near- Bankruptcy, But We Don't Think It Will File
Alpha Gen Capital
Alpha Gen Capital
Oct. 8, 2015, 8:07 AM
- Apollo Global Management (NYSE:APO) is exploring the feasibility of making an offer for Chemours (NYSE:CC), the former DuPont (NYSE:DD) chemical manufacturing unit, and using it as a platform for consolidating other titanium dioxide makers, Bloomberg reports.
- APO is said to have held preliminary talks with bankers about a buyout of Chemours and then approaching other companies, including Tronox (NYSE:TROX), about a tie-up to generate scale and cost efficiencies.
- Among potential obstacles to a deal are a tax bill for DuPont if Chemours is taken private too soon after the July spinoff, and the ~$4B in debt resulting from a payment made to DuPont prior to the split.
Jun. 26, 2015, 5:44 PM
- While OCI Resources (NYSE:OCIR) is not likely to attract interest from the three largest strategic players in the market, the soda ash producer could be an attractive purchase for chemical-focused P-E firms or an indirect strategic player, according to TheDeal.
- OCI Enterprises, which owns a 75% stake in OCIR, said earlier this week it is evaluating strategic alternatives for its entire stake in the MLP.
- Analysts say none of the three largest players in the space - Tronox (NYSE:TROX), Belgium's Solvay (OTC:SVYSF) and India's Tata Chemicals - are considered a suitable bidder for OCIR, but various P-E firms and chemical companies could take a long look.
- OCIR could fetch 9x-9.3x EBITDA, which works out to a range of $1.15B-$1.19B, the report says.
Feb. 4, 2015, 7:38 AM
- Tronox (NYSE:TROX) agrees to acquire FMC Corp.'s (NYSE:FMC) Alkali Chemicals division for $1.64B, in a deal it says will hep it expand in faster-growing developing economies.
- The Alkali Chemicals division produces natural soda ash and related products used in the glass, chemical processing and detergent industries.
- TROX expects the acquisition to add more than $0.50/share to earnings in the 12 months following closing; the business would have contributed ~$800M of revenue for FY 2014.
Feb. 3, 2015, 9:41 AM
- Tronox (TROX +10.2%) is nearing a deal to buy the soda-ash business from rival chemical company FMC Corp. (FMC +1.8%) for more than $1.5B, with an announcement coming as soon as today, WSJ reports.
- FMC announced its intention to sell the alkali chemicals business in September when it agreed to acquire a pesticide business from Auriga Industries.
- TROX appears to have prevailed in the auction for the FMC unit over other chemical companies and P-E firms, according to the report.
Tronox Ltd. engages in the business of exploration of titanium ore and titanium dioxide. It operates through two segments: Mineral Sands and Pigment. The Mineral Sands segment includes the exploration, mining and beneficiation of mineral sands deposits. The company was founded on September 21,... More
Sector: Basic Materials
Country: United States