Rumors that the two most popular Chinese chemical

Rumors about the merger of China's two major chemical giants rise again

rumors about the merger of China's two major chemical giants rise again

August 7, 2017

[China paint information]

China's two major chemical giants are expected to merge. On August 5, it was reported that this traditional experimental machine of China National Chemical Corporation could not be realized. The merger and reorganization between the company (hereinafter referred to as "Sinochem") and China National Chemical Corporation (hereinafter referred to as "Sinochem") has begun to take shape. However, due to the business collaboration and other considerations involved, once the two are really merged, how to study the integration process and integration objectives in detail in the future remains to be studied, which can also improve productivity

there have been constant rumors of the merger of the two chemical giants. Last October, there were media reports that the relevant departments planned to merge Sinochem Group and China National Chemical Corporation into a group, but Sinochem immediately issued a clarification announcement to deny the rumor. In May this year, it was reported that CHEMCHINA and SINOCHEM China planned to merge in 2018. Recently, China Guoxin Holdings Co., Ltd. has negotiated cooperation with both companies, which is also regarded as the "signal" of the merger of the two companies

it is understood that Sinochem Group, founded in 1950, is currently one of China's four major national oil companies, a comprehensive service provider of chemical products, and the largest integrated operation enterprise of agricultural inputs (fertilizers, seeds, pesticides) and modern agricultural services. CHEMCHINA is a state-owned enterprise established on the basis of the enterprises affiliated to the former Ministry of chemical industry. It is the largest chemical enterprise in China. It has new chemical materials and special chemicals, and the maintenance of experimental machines is very simple. Basic chemicals, petroleum processing, agricultural chemicals, tire testing machines, zero swing zero drift experimental machines. After several years of operation, rubber and chemical equipment have six business segments. In June this year, China National Chemical Corporation completed the acquisition of Syngenta. Up to now, CHEMCHINA owns 94.7% of Syngenta shares. The total price of this transaction is close to $44billion

some insiders said that if the two companies merge in the future, the business level can be combined upstream and downstream, and the industrial chain will be more complete. The energy and chemical industry sectors of CHEMCHINA will get the complementary advantages of Sinochem Group, expand the competitiveness in the international market, and Sinochem Group can also further enhance the strength of the domestic market business sector. However, judging from the current progress, the progress of the merger and reorganization of CHEMCHINA and Sinochem Group is relatively slow, and no news will be released soon. As of press time, the two companies did not make a statement on the news