Acquisition of Boise Inc. by Packaging Corporation of America under investigation

MOSCOW (MRC) -- Robbins Arroyo LLP is investigating the acquisition of Boise Inc. by Packaging Corporation of America. On September 16, 2013, the two companies announced the signing of a definitive merger agreement under which an affiliate of Packaging Corporation will acquire Boise for $12.55 in an all-cash tender offer. The transaction is expected to close in the fourth quarter of 2013. According to RobbinsArroyo, investigation focuses on whether the board of directors at Boise is undertaking a fair process to obtain maximum value and adequately compensate its shareholders in the merger.

As an initial matter, the $12.55 consideration represents a premium of only 26% based on the Boise’s closing price on September 13, 2013. That premium is substantially below the average one-day premium of 37.36% for comparable transactions in the last three years.

Robbins Arroyo is examining Boise’s board of directors’ decision to sell the company to Packaging Corporation now rather than allow shareholders to continue to participate in the company’s continued success and future growth prospects, and whether they are seeking to benefit themselves.

MRC

MOSCOW (MRC) -- Petro Rabigh said the supply of power and steam supplies has been restored, after a sudden cut late last week halted operations at its refinery, reported Hydrocarbonprocessing.

The interruption of power supply from the provider RAWEC damaged some of the ovens in an ethane cracker unit, but did not harm the complex's unit for refining crude oil, Petro Rabigh said in a statement posted on the Saudi bourse website.

Repairs and lost production will cost about USD66.7 million, which will appear in the third quarter of this year, the company noted.

Production in the undamaged units are starting up again this week, Rabigh said, adding repairs and maintenance on the damaged equipment is expected to last 16 days.

Rabigh utilizes 400,000 bpd of crude oil and 1.2 million tpy of ethane as primary feedstock to produce several refined petroleum products and petrochemical products. The refinery has mainly been producing 8 million tons of heavy oil, 5.3 million tons of light oil, 3 million tons of naphtha and 2.6 million tons of kerosene each year.

Saudi Aramco and Japan's Sumitomo Chemical each hold a 37.5% stake in Petro Rabigh, with the remaining 25% owned by the public.
MRC

MOSCOW (MRC) -- For many years Albis Plastic GmbH, met the highest of quality requirements in the field of linear polyphenylene sulphide (PPS) compounds: the company's own product TEDUR, which stands out thanks to its extremely high mechanical properties, is mainly used in complex applications.

According to the company's press-release, branched PPS compounds are highly suitable for use in the field of standard applications for PPS with glass fibre 40% or glass fibre/mineral 65% by virtue of their better performance.

Albis Plastic has been able to expand its PPS range thanks to the recently concluded distribution partnership with the Japanese TORAY Group, one of the world's leading PPS producers. As of now, their branched PPS compounds TORELINA A504X90 (PPS GF40) and TORELINA A310MX04 (PPS GF/MR65) are part of the ALBIS delivery program.

The cooperation not only covers most of Western Europe, it also services the Balkan countries and growing markets in East Europe including Russia.

Albis Plastic has expanded its PPS product range to meet the steadily rising global demand, which has a current growth rate of almost 8 percent. The automotive and electronics industries in particular have a high demand for
TEDUR and TORELINA. In addition to their resistance to high-temperature and form stability, as well as their excellent resistance to oil and chemicals, theyalso stand out thanks to their high rigidity and hardness properties. TEDUR and TORELINA are also dynamically resilient, absorb little water and, thanks to their slight fluidity and broad processing window, they are easy to use in production processes.

MRC

MOSCOW (MRC) -- Vice-President of LUKOIL Vadim Vorobyev and deputy chairperson of Uzavtosanoat (UzAuto) Tohirjon Jalilov signed a memorandum of understanding, in line with which the company will cooperate in production and realization of motor oils and technical liquids.

According to UzDaily, the document envisages that LUKOIL will sell motor oil UzautoOil, production of which was started in June 2013 at the LUKOIL-Permnefteogsintez in Uzbekistan and other countries of Central Asia.

At the same time, LUKOIL will provide consultative service to UzAuto on project on construction of the plant on production of tare and package of lubricant materials and technical liquids. Vadim Vorobyev said that Uzbekistan is one of attractive markets for sales of lubricant materials, first of all motor oils, for LUKOIL.

SamAuto, which produces Isuzu buses, selected motor oils of LUKOIL for conveyor fill in 2012. In the same year, GM Powertrain Uzbekistan in Tashkent, a producer of engines, signed contract with LUKOIL on supply of LUKOIL GENESIS FE motor oils. Oils will be used at produced engines.

MRC

MOSCOW (MRC) -- Dow Chemical Co. has filed court documents giving companies contesting its appeal over participation in a polyol price-fixing ring until Sept. 23 to formally say they will fight Dow's appeal or walk away.

As per Plastics News, Dow, which has seen its level of damages fall by USD139 million is appealing against a decision made by the U.S. District Court in Kansas City, Kan.

On Sept. 11, Dow filed a document with the 10th Circuit Appeals court in Denver giving the plaintiffs from the case in Kansas until Sept. 23 to formally tell the Court in Denver that they intend to contest the appeal.

MRC