Middlebury, Connecticut — Chemtura has revised some information ahead of its likely purchase by Lanxess, after a class action lawsuit was filed in the United States District Court for eastern Pennsylvania.
In a filing with the SEC, Chemtura makes it clear that it feels the class action (cv-06626-ER) is without merit and intends "to defend against the litigation vigourously. "
However, "in order to alleviate the costs, risks and uncertainties inherent in litigation and provide additional information to stockholders" Chemtura has made a voluntary addition to its proxy statement without prejudice to its legal position.
The additional disclosures centre on a discounted cash flow analysis, of the business, which appears in page 66 of the original proxy statement.
Other supplementary information which Chemtura is supplying replaces the disclosure under the heading general in the third full paragraph of page 68 of the original proxy statement.
Finally, Chemtura has updated the information from the pre-risk-adjusted long-range forecast and certain information from risk-adjusted long-range forecasts on pages 72 to 74 the original proxy statement.
This now shows net sales are estimated to have been $1.9 bn in 2016, $2.0 bn in 2017,$2.1 bn in 2018 and $2.3 bn in 2019 with operating income increasing from $233 m to $372 m in the same period of time and capital expenditure falling from $102m to $87m in that period.