TORRANCE, Calif. (Sept. 8, 2011)—The U.S. Federal Trade Commission is seeking public comment on Dow Chemical Co.'s application for FTC approval to sell certain real estate in Torrance, which is related to a latex polymers business that Dow previously divested to Arkema Inc.
Dow's sale of the property is required under a 2009 settlement with the FTC, which resolved the agency's concerns about the effect of Dow's acquisition of Rohm and Haas Co. on competition in the markets for industrial chemicals used to make coated paper products, paints and adhesive.
The FTC's 2009 order settling the case requires Dow to sell the Torrance property. Arkema, the FTC-approved buyer of Dow's acrylic acid and latex polymers businesses, did not want to buy the Torrance latex polymers plant and related property.
Instead, Arkema bought the business only, and Dow and Arkema entered into a long-term lease with an option to buy the latex polymers plant and the land it occupied.
Dow remains obligated to sell the leased property, and eliminate the lease relationship with its competitor, Arkema.
The potential purchaser is Hager Pacific Acquisitions L.L.C., a property and real estate company.