Dow and DuPont announced this week they’ve been given conditional regulatory merger approval the Ministry of Commerce of China. The approval is conditionally based on the companies fulfilling commitments that were given to the Ministry regarding the deal. The conditions for approval are similar to commitments the companies already made to get approval from the European Union Commission. For example, Dow and DuPont will have to divest parts of DuPont’s crop protection portfolio. Dow and DuPont have also made commitments within the Chinese market, including the supply and distribution of certain herbicide and insecticide ingredients and formulations for rice crops for up to five years after the merger is finalized. Back on March 27, the European Union gave conditional approval to the merger. Dow and DuPont still expect the deal to be finalized during August of this year. Intended company spin-offs would occur sometime during the 18 months after the deal closes. Dow and DuPont are also continuing to work to get regulatory approval for their merger from the remaining relevant jurisdictions around the globe.
From the National Association of Farm Broadcasting news service.
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