DyStar transitions to ownership by Zhejiang Longsheng
Chemicals-maker DyStar has announced Zhejiang Longsheng Group has bought 37.57% of shares previously held by Indian group Kiri Industries.
The acquisition follows a ruling by the Singapore International Commercial Court mandating the sale of 100% of DyStar’s equity.
As controlling shareholder with 62.43% of DyStar, Zhejiang Longsheng Group’s strategic acquisition of the outstanding shares will result in DyStar becoming a wholly owned subsidiary. This transaction resolves the long-standing litigation with Kiri Industries, thereby avoiding a full sale of DyStar.
The total consideration is valued at $696 million, subject to adjustments on or after the closing date.
Xu Yalin, president of DyStar Group said: “We are delighted with the conclusive resolution of the dispute, which enables DyStar Group to move forward with certainty, confidence and renewed strategic focus. This marks a significant milestone in our 30-year journey as it reinforces our long-term stability and commitment to our global stakeholders.”
