Chemtura to sell agrochemicals unit to Platform Specialty: WSJ

Chemtura Corp. ( CHMT ), a maker of specialty chemical solutions, plans to sell its agrochemicals business to Platform Specialty Products Corp. (PAH, PAH.L, PLAHF.PK) for about $1 billion, the Wall Street Journal reported citing people familiar with the matter.

The report suggested that the two specialty-chemicals companies, each with a market value of about $2.4 billion, plan to announce the deal Thursday. It will be paid for with $950 million in cash and 2 million Platform shares.

Chemtura said last year that it would explore a sale of the agrochemicals unit, which sells chemicals-based products, like insecticides and growth regulators, that help with planting and protecting crops.

The report indicated that Chemtura will return part of the proceeds to shareholders, with the rest used to pay down debt and fund so-called organic growth.