Evonik rejects BASF's $11.7 billion offer

German company Evonik has rejected BASF's offer of €10.3 billion, approximately $11.7 billion.

BASF was offering around €22.15 per Evonik share. Before information about the negotiations spread, Evonik's share was worth €18.07, while by the end of Monday its price stood at €19.84.

For reference, Evonik produces specialty plastics, animal feed additives, and ingredients used in paints and household products.

Acquiring Evonik would have helped BASF cut costs, strengthen direct ties with customers, and reduce its dependence on the European market.

The acquisition of Evonik would also have reinforced BASF's position in the global market. Last year, BASF's revenue reached €59.7 billion, nearly matching the figure for Sinopec's chemical business.

It is not yet known whether BASF will continue negotiations or raise its offered price.

Source: Reuters