China National Chemical Corp. (ChemChina) and Syngenta announced that the companies have received clearance on their proposed transaction from the Committee on Foreign Investment in the United States (CFIUS).
In addition to CFIUS clearance, the closing of the transaction is subject to antitrust review by numerous regulators around the world and other customary closing conditions. Both companies are working closely with the regulatory agencies involved, and discussions remain constructive.
The proposed transaction is expected to close by the end of the year.
Syngenta is a leading agricultural company offering innovative crop solutions and has 28,000 employess in more than 90 countries working to transform how crops are grown.
ChemChina, which is headquartered in Beijing, China, possesses production, research and development and marketing systems in 150 countries and regions. It is the largest chemical corporation in China and occupies the 234th position among the Fortune 500. The company’s main businesses include materials science, life science, high-end manufacturing and basic chemicals, among others. Previously, ChemChina has successfully acquired nine leading industrial companies in France, the U.K., Israel, Italy, Germany and other countries.
ChemChina, a state-owned company, made the offer to buy the Swiss pesticide maker for more than $43 billion back in February, following an earlier offer of $42 billion that was rebuffed.
The deal, if completed, would make ChemChina, the world’s biggest producer of pesticides and agrochemicals.