Israel's Koor Industries has reached a strategic cooperation agreement with China National Chemical Corp. or ChemChina for a merger with its subsidiary Makhteshim Agan Industries, Koor's parent company IDB Holding said in a statement on Tuesday. The merger agreement would be signed within two weeks, IDB added.
  Under the agreement, ChemChina will buy a 60% stake in Makhteshim Agan Industries, a leading agrochemical manufacturer, for $1.438 billion. The remaining 40% will be held by Koor. The company was valued at $2.42 billion for the deal.
ChemChina will arrange a loan of $960 million for Koor using Koor shares in Makhteshim Agan Industries as collateral, IDB said. The loan will be repaid in full after seven years.
  In October, Makhteshim Agan Industries announced that ChemChina offered $2.72 billion for the company, a 60% premium on its market cap at the time. Last month, the Chinese company requested and received a 12% reduction in the price tag. This is the first major Chinese acquisition in the Israeli chemical industry and the largest ever investment by a Chinese company in the country.

source from Agropages