Source: Makhteshim-Agan news release

Makhteshim-Agan will be held 60 percent by ChemChina and 40 percent by Koor Industries Ltd if a merger/acquisition is completed with board of directors of the companies voting in favor during early January.

Makhteshim-Agan will move to a privately held company away from being a public shareholder company, of which Koor Industries Ltd was the main shareholder.

ChemChina is a large Chinese company controlled by the Chinese Government active in the areas of chemicals and agrochemicals, and the China National Agrochemical Corporation is part of the ChemChina Group. Koor Industries Ltd. of IDB Group is a prominent holding company based in Israel, which invests in companies operating in a range of business segments and focusing on large-scale company investments.

The extensive financial details as reported includes a payout of about $1.272 million for the purchase of approximately 53 percent of the Makhteshim-Agan shares from shareholders, and Koor will receive approximately $168 million for the sale of approximately 7 percent of the shares it controls. In addition, as part of the transaction, ChemChina is anticipated to arrange for a non-recourse loan to Koor in the amount of $960 million, which shall be secured only by the Makhteshim-Agan shares held by Koor, according to a recently released news release.

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