I have recommended a BUY on Rhodia Specialty Chemicals ( Formerly Albright and Wilson) @ Rs.185 ( Recommendation Link HERE) .This stock yesterday hits its lifetime high @ Rs.711 and closed around Rs.680. Solvay SA ,the multinational Specialty Chemical giant is the ultimate parent of Rhodia which came out with a de-listing offer for Rhodia Specialty Chemicals.Floor price for the reverse book building is indicated as Rs.442.64. One should wait and see whether the company will accept a substantially higher discovered price is if it happens. Recommending to sell one third of your holdings in Rhodia which will cover the entire cost price at Current market rate. Using that amount one can take exposure in the only other listed Solvay entity in India ,ie, Sunshield Chemicals @ CMP Rs.62 even if this stock is also traded in Periodic Call Auction as in the case of Rhodia .
Sunshield - taken over by Solvay in 2012- , also operating in Specialty Chemical segment .Under the new management , company reported turnaround numbers in latest September quarter.Turnover of the company also showing good progress even in this tough business environment.Company now upgrading all its systems,production facilities ..etc into Solvy's standard.About 50% of Sunshield's income coming from exports.With Solvay's vast marketing network all around the word and revival in Europe and US ,Sunshield is expected to perform even better in coming years.In addition to a possible improvement in business ,there is every chance for a de-listing offer for Sunshield in future. Stock traded in BSE only with code 530845 @ Rs.62
Link to Solvay HERE
Link to Sunshield HERE
Link to latest Annual Report HERE