One of the biggest gainers in an overall down market today was petrochemical producer, TPC Group Inc.
The previous offer from an investment fund backed by First Reserve Corporation and SK Capital Partners was initiated at the end of August, but it was only for $40 per share. Based on language in the reply from TPC management, they have the right to back out if a Superior Proposal comes to the table from another suitor. Based on the higher valuation and estimated synergies between TPC Group and Innospec, a producer of specialty chemicals used in fuel additives and consumer fragrances, the board of TPC Group has decided to move forward with its due diligence research.
If a deal is reached, TPC Group would be acquired by Innospec for an estimated $700 million.