Investigation into Huntsman-Olin Transaction
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 9 hours ago
0mins
Source: PRnewswire
- Shareholder Rights Investigation: Ademi LLP is investigating whether Huntsman breached fiduciary duties in its transaction with Olin, particularly given the terms that may harm shareholder interests.
- Transaction Structure: Huntsman shareholders will receive 0.5476 shares of Olin for each share of Huntsman, resulting in Olin shareholders owning approximately 54.5% of the combined entity upon completion.
- Competitive Restrictions: The transaction agreement imposes significant penalties on Huntsman for accepting competing bids, potentially limiting options for other bidders and impacting shareholder choices.
- Insider Benefits: Huntsman insiders are set to receive substantial benefits as part of change of control arrangements, raising concerns about whether the board is fulfilling its fiduciary duties to all shareholders.
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Analyst Views on HUN
Wall Street analysts forecast HUN stock price to fall
10 Analyst Rating
2 Buy
5 Hold
3 Sell
Hold
Current: 13.180
Low
8.00
Averages
9.78
High
11.00
Current: 13.180
Low
8.00
Averages
9.78
High
11.00
About HUN
Huntsman Corporation is a manufacturer of diversified organic chemical products. The Company's segments include Polyurethanes, Performance Products and Advanced Materials. The Polyurethanes segment provides a range of polyurethane chemicals, including methylene diphenyl diisocyanate (MDI) products, polyols and thermoplastic polyurethane (TPU). It serves building insulation, construction products, automotive, including electric vehicles, and footwear markets. The Performance Products segment provides amines and maleic anhydride and serves a variety of consumer and industrial end markets. Amines are used in polyurethane foam, fuel and lubricant additives, paints and coatings, composites, gas treatment, construction materials and semiconductor cleaning solutions. Advanced Materials is a manufacturer and marketer of epoxy, phenoxy, acrylic, polyurethane, mercaptan and acrylonitrile butadiene-based polymer products as well as carbon nanomaterials.
About the author

Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
- Merger Investigation: Wohl & Fruchter LLP is investigating the proposed merger between Huntsman Corporation and Olin Corporation, focusing on whether the merger serves the best interests of Huntsman shareholders, particularly regarding the fairness of the exchange ratio.
- Significant Stock Drop: Following the merger announcement, Huntsman's stock price fell over 18% on June 16, 2026, reflecting market dissatisfaction with the merger terms, especially as the implied sale price of $13.85 per share is significantly lower than its previous closing price of $15.89.
- Analyst Price Target Discrepancies: Multiple Wall Street analysts have set Huntsman's target prices between $15.00 and $16.00, yet the implied sale price post-merger is well below these targets, indicating skepticism about the merger's value.
- Shareholder Rights Protection: Wohl & Fruchter encourages Huntsman shareholders with concerns about the merger's fairness to contact them to discuss their legal rights, demonstrating the firm's commitment to safeguarding investor interests.
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- Merger Drivers: The merger between Olin and Huntsman is primarily driven by vertical integration and cost-saving opportunities rather than expansion into new markets, with analysts noting that this move could create significant value by linking Huntsman's polyurethane and epoxy businesses with Olin's chlor-alkali operations.
- Cost Synergy Expectations: The companies anticipate achieving $300 million in annual cost savings by the end of the third year post-merger, with an additional $100 million opportunity available after the expiration of an Olin supply contract in 2031, highlighting the financial potential of the merger.
- Shareholder Structure: Under the agreement, Huntsman shareholders will receive 0.5476 Olin shares for each Huntsman share they own, resulting in Olin shareholders owning approximately 54.5% and Huntsman shareholders 45.5% of the combined entity, which will impact the shareholder structure of both companies.
- Future Cash Flow Outlook: The combined company is expected to generate between $300 million and $600 million in annual free cash flow in 2027 and 2028, allowing leverage to decline by roughly one turn per year when combined with expected earnings growth, indicating a healthy long-term financial outlook for the merger.
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- Shareholder Rights Investigation: Ademi LLP is investigating whether Huntsman breached fiduciary duties in its transaction with Olin, particularly given the terms that may harm shareholder interests.
- Transaction Structure: Huntsman shareholders will receive 0.5476 shares of Olin for each share of Huntsman, resulting in Olin shareholders owning approximately 54.5% of the combined entity upon completion.
- Competitive Restrictions: The transaction agreement imposes significant penalties on Huntsman for accepting competing bids, potentially limiting options for other bidders and impacting shareholder choices.
- Insider Benefits: Huntsman insiders are set to receive substantial benefits as part of change of control arrangements, raising concerns about whether the board is fulfilling its fiduciary duties to all shareholders.
See More
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- Oil Price Impact on Sentiment: WTI crude oil prices dropped over 3% to a 3.25-month low due to the US-Iran agreement to reopen the Strait of Hormuz, which has eased inflation expectations; while this provides short-term support for stocks, the long-term effects remain to be seen.
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- Merger Transaction: In the merger between Huntsman Corporation (NYSE:HUN) and Olin Corporation, Huntsman shareholders will receive 0.5476 shares of Olin for each share of Huntsman, with Halper Sadeh LLC potentially seeking increased compensation.
- Olin Shareholder Rights: Upon completion of the merger, Olin shareholders will own approximately 54.5% of the combined entity, and Halper Sadeh LLC encourages Olin shareholders to understand their rights and options.
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