Chemicals maker Albemarle Corp said it would purchase rival Rockwood Holdings Inc for $6.2 billion to tap fast-growing demand for lithium products used in mobile phone and automobile batteries.Rockwood shares rose nearly 14 percent to $86 at market open on Tuesday in heavy volume, slightly above Albemarle's offer of $85.53 per share. Albemarle shares rose 5 percent to $76.02."Growth prospects for lithium are better than for any of Albermale's existing businesses," said Suntrust Robinson Humphrey analyst James Sheehan. "They want to capture the upside potential from electrification of automobiles that's likely to occur over the next several years."U.S. sales of electric vehicles soared to 167,617 in 2013 from 345 in 2010, according to a report published in January by the U.S. Department of Transportation-funded Electric Vehicle Transportation Center. (bit.ly/1wpRMi6)
Albemarle Corporation (Albemarle) is a developer, manufacturer and marketer of specialty chemicals, which meet customer needs across a range of end markets, including the petroleum refining, consumer electronics, plastics/packaging, construction, automotive, lubricants, pharmaceuticals, crop protection, food-safety and custom chemistry services markets. Shares of ALB fell by 4.16% or $-3.02/share to $69.60. In the past year, the shares have traded as low as $60.16 and as high as $72.79. On average, 481231 shares of ALB exchange hands on a given day and today's volume is recorded at 5871989.
Rockwood Holdings, Inc. (Rockwood) is a developer, manufacturer and marketer of specialty chemicals and advanced materials used for industrial and commercial purposes. Shares of ROC traded higher by 9.74% or $7.3705/share to $83.07. In the past year, the shares have traded as low as $62.37 and as high as $82.00. On average, 857139 shares of ROC exchange hands on a given day and today's volume is recorded at 9933843.
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