logo
Share SHARE
FONT-SIZE Plus   Neg

Georgia Gulf Says Remains Focused On Executing Its Strategy - Quick Facts

Georgia Gulf Corp. (GGC) issued a statement regarding Westlake Chemical Corp.'s (WLK) announcement that it has withdrawn its previously disclosed unsolicited proposal to acquire Georgia Gulf.

In the statement, Georgia Gulf said it remains focused on executing its strategy and is confident that it is well positioned to create significant value for its stockholders.

"As recently announced, the Company's first quarter 2012 operating results were the best Georgia Gulf has reported for the first quarter in the past six years, which demonstrates our ability to generate stockholder value even in a period of volatile macroeconomic conditions and a slow housing market," said Paul Carrico, President and Chief Executive Officer.

Earlier today Westlake Chemical said that it has withdrawn its unsolicited proposal to acquire Georgia Gulf following talks with the smaller rival's management.

Westlake also said it now plans to sell its stake in Georgia Gulf stock as "market conditions permit". Westlake holds about 4.8 percent of Georgia Gulf's outstanding shares.

The latest development follows Georgia Gulf's rejection of a sweetened $35 a share offer from Westlake in February.

On February 1, Westlake lifted its offer to acquire all the shares of Georgia Gulf to $35 a share. It was $5 more than the initial bid of $30 offered by the Houston, Texas-based Westlake on January 13. The sweetened offer represented a 43 percent premium to Georgia Gulf's closing stock price of $24.48 on January 12.

Westlake had first made the offer on September 30, but publicly disclosed it only on January 13 because of continued rejection of the offer and unwillingness to engage in substantive discussions by Georgia Gulf.

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Quick Facts

Editors Pick
Facebook Inc. (FB), Wednesday reported a jump in profit for the second quarter, as the social networking giant's bottom line continues to be driven by soaring ad revenues. Both earnings and revenues trumped Wall Street expectations, sending shares up by 6 percent in the extended hours. Menlo Park,... Boeing Co.(BA) reported a loss for the second-quarter 2016 compared to profit in the prior year, reflecting 787 cost reclassification and charges on the 747 program and the KC-46 Tanker program, partially offset by solid execution and higher volume. It cut its profit outlook for fiscal year 2016, while it reaffirmed annual revenue guidance. Automaker Fiat Chrysler Automobiles NV on Wednesday reported a 25 percent increase in profit for the second quarter from last year. However, quarterly net revenues and worldwide shipments declined from last year.
comments powered by Disqus
Follow RTT