HUNTSMAN RECEIVES $325 MILLION PAYMENT FROM HEXION (12/23/08)
December 23, 2008
Huntsman Corp., The Woodlands, TX, announced it has received the $325 million termination fee provided for in the merger agreement between Huntsman and Hexion Specialty Chemicals Inc. Hexion committed to pay the termination feel in connection with the previously announced $1 billion settlement between Huntsman and Hexion, Apollo Management L.P. and certain of its affiliates.
Huntsman expects to receive another $250 million payment from Apollo affiliates and a further $250 million payment upon issuance of 10-year Huntsman convertible notes to Apollo on or before Dec. 31, 2008. The remaining $175 million of payments must be made on or before March 31, 2009.