|Dow Completes Wolff Walsrode Acquisition|
Monday July 2, 6:56 am ET
Dow Chemical Completes Acquisition of Bayer's Wolff Walsrode Division
MIDLAND, Mich. (AP) -- Dow Chemical Co. said Monday it completed its acquisition of Bayer AG's cellulose plastics unit, Wolff Walsrode, for $590 million.
Including assumed debt and pension commitments, the deal is valued at $725 million.
Bayer said in March it would divest Wolff Walsrode as part of plans to finance its acquisition of fellow German drug maker Schering AG. Bayer said it plans to use the $590 million cash portion of the transaction to lower debt.
Wolff Walsrode will become part of Dow's Water Soluble Polymers business.
"Wolff is a strategically aligned acquisition that brings new expertise and customer focus to accelerate Dow's growth in key specialty markets," Dow Chairman and Chief Executive Andrew Liveris said in a statement.
The acquisition is expected to add to Dow's earnings by the end of the first year of ownership.
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