Dow Chemical Co. seems close to complete the acquisition of Rahm & Haas for US$15.3 bln before Tuesday's opening bell. The US$78/share purchase price increases daily if the deal does not close by this Saturday (amounting to an additional US$3 mln/day) - acted as an incentive for Dow to close the deal by the weekend.
To pay for Rohm & Haas, Dow had secured a US$14 bln bridge loan and about US$4 bln from investors. It had hoped to use about half of the bridge loan before the Kuwait deal fell apart. Though expectations were abound of Dow trying to renegotiate the terms with Rohm & Haas following the collapse of the Kuwait deal, it did not happen.