Dow Chemical Shares Up on Buyout Speculation In U.K. Tabloid
Shares of Dow Chemical rose sharply on Monday, a day after the U.K.-based Sunday Express tabloid newspaper reported that the company could be a target of a leveraged buyout.
The paper, in an unsourced report, said the company might get a takeover offer worth as much as $54 billion from buyout funds.
The paper said the approach was likely to come from a combination of global investors and American private equity giants, who intended to break up the group into smaller companies through a highly-leveraged buyout.
Dow Chemical declined to comment on market rumors. Prior to the report, shares of the company had risen about 8.6% over the last 3 months, lagging the Standard and Poor's chemicals index, which had risen about 9.3% during the same period.
Shares of the company rose, after touching as high as $47.26 earlier in the session, its highest level since August 2005.