Olin, Huntsman shareholders approve $12 billion merger of equals

Shareholders of Olin Corporation and Huntsman Corporation approved the all-stock merger of equals, with 97 percent of Olin votes and 99 percent of Huntsman votes cast in favor, clearing the way for a combined chemicals group with more than $12 billion in revenue.

"We greatly appreciate the strong support of Olin and Huntsman shareholders as we reach this important milestone," said Ken Lane, President and Chief Executive Officer of Olin, in a statement.

At the special meetings held Aug. 25, Olin votes in favor represented 81 percent of all outstanding shares, while Huntsman's represented 75 percent. Under the deal, Huntsman shareholders receive 0.5476 shares of Olin common stock for each share, valuing the consideration at about $11.06 per share based on Olin's July 9 closing price. Huntsman reported 2025 revenue of about $6 billion from continuing operations, running more than 55 manufacturing, research and development facilities across roughly 25 countries.

The transaction is expected to close in the first half of 2027, subject to receipt of required regulatory approvals and other customary closing conditions. The companies favor a direct merger structure that they said improves capital-structure efficiency and avoids potentially costly debt refinancings that would weigh on the combined group's net income.

The vote marks a decisive step in a combination announced earlier this year that would consolidate the two New York-listed chemical producers under the Olin ticker. Olin, a vertically integrated maker of chlorine and caustic soda, vinyls, epoxies and chlorinated organics, also owns Winchester, a leading U.S. ammunition manufacturer. Huntsman produces thousands of specialty and commodity chemical products sold worldwide to manufacturers serving consumer and industrial end markets.

Peter Huntsman, Chairman, President and Chief Executive Officer of Huntsman, said the combined company would be "better positioned to compete in an increasingly global industry, delivering value, adding products and greater service for customers."

A direct merger to protect the balance sheet

The boards of both companies unanimously back the deal, which can be completed either through a direct merger of Huntsman into Olin or a two-step subsidiary merger, provided investors approve the respective resolutions. The preferred direct-merger route lets the combined group avoid triggering change-of-control provisions in existing debt, sidestepping refinancing costs that would otherwise pressure net income. Shareholders also cast advisory votes on executive compensation and on adjournment flexibility to secure sufficient support for the transaction.

What the combined group looks like

The merged company, to be named OlinHuntsman, would rank among the largest integrated chemical producers in North America, spanning chlor-alkali, epoxies, vinyls and specialty intermediates. Olin's vertically integrated platform pairs chlorine and caustic soda production with downstream derivatives, while Huntsman adds polyurethane, advanced materials and performance products. The deal consolidates capacity in a sector that has faced margin pressure from oversupply and weak industrial demand, giving the merged entity greater pricing power across the value chain and a broader product portfolio to serve customers, executives said.

The shareholder approval removes a major execution risk from the deal, leaving regulatory clearance as the primary remaining hurdle. If approvals arrive on schedule, the combined company would begin operations in the first half of 2027 with roughly $12 billion in revenue and a more diversified earnings base than either company alone. A delay in antitrust review, by contrast, would extend the period of uncertainty for both stocks, which have traded in line with the deal's implied value since the announcement.

This article is for informational purposes only and does not constitute investment advice.