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Friday, September 5, 2014

Private equity duo bid for agrichemicals business Cheminova -sources, (NYSE: FMC)

Buyout groups EQT and CVC have made a joint bid to purchase crop-protection company Cheminova in a deal that could be worth about 1 billion euros ($1.3 billion), two sources familiar with the deal told Reuters. The two private equity groups submitted an offer this week before expiry of a deadline set by Cheminova's owner Auriga Industries, the sources said.United States-based FMC Corp has also expressed interest in the business, one of the sources said, while another source said that Asian groups have also been circling.The bid from EQT and CVC values Cheminova at about eight to nine times its expected 2014 earnings before interest, tax, depreciation, and amortisation (EBITDA) of 120 million euros, the sources said.Cheminova, which develops and supplies crop-protection products to increase the yield and quality of crops, posted a 14 percent rise in EBITDA to 305 million Danish crowns ($53 million) in the second quarter on sales up 3 percent to 1.9 billion crowns.

FMC Corporation (FMC) is a diversified chemical company. Shares of FMC remained unchanged at $65.44. In the past year, the shares have traded as low as $64.05 and as high as $83.94. On average, 1139380 shares of FMC exchange hands on a given day and today's volume is recorded at 0.