Olin and Huntsman Announce Merger to Create $12.5 Billion Chemicals Giant

Olin Corporation and Huntsman Corporation have entered into a definitive agreement to combine through an all-stock merger of equals, creating a leading North American chemicals company. The transaction is expected to deliver substantial value to shareholders, supported by more than USD 400 million in identified cost synergies and integration benefits. Following completion of the merger, the combined company will operate as OlinHuntsman Corporation.

The new organisation will benefit from greater scale, a broader product portfolio, and enhanced integration across the chlorine value chain, strengthening its ability to generate value across different markets and business cycles. The merger brings together Olin’s cost-advantaged upstream assets and feedstock capabilities with Huntsman’s downstream specialty formulations and advanced materials portfolio. By integrating these highly complementary businesses, OlinHuntsman will establish a stronger and more efficient operating platform serving a wide range of end-use sectors, including automotive, construction, infrastructure, and industrial applications. With a global manufacturing footprint and improved vertical integration, the combined company is expected to achieve a more competitive cost structure while increasing its ability to convert electrochemical unit production into higher-value downstream products, creating additional opportunities for long-term growth and profitability.

“This combination provides a compelling opportunity for Olin and Huntsman to create a more resilient and value-focused chemicals company anchored in North America,” said Ken Lane, President and Chief Executive Officer of Olin. “Huntsman has built an impressive portfolio of polyurethane systems, formulation technologies and advanced materials serving technical, application-driven end markets. By integrating those capabilities with Olin’s world-scale chemicals assets and operations and identified synergies and benefits, we will create an industry leader with greater flexibility to serve customers across the value chain, generate stronger cash flow across the cycle and pursue opportunities that neither business could fully capture on its own. I’m excited by the opportunity to lead OlinHuntsman and deliver long-term value for our shareholders, customers, employees and communities.”

“As our industry continues to globalize, we compete more today against countries, than companies, trade policies and global supply chains than ever before,” said Peter Huntsman, Chairman, President and Chief Executive Officer of Huntsman. “The opportunities this merger creates enable us to generate greater value for our shareholders, deliver exceptional service and products for our customers and provide greater stability and opportunities for our associates. This merger of equals takes two great companies and creates a much stronger global leader.”

Strategic and Financial Benefits

Creation of a Major North American Chemicals Company: The combined company would have generated approximately USD 12.5 billion in revenue in 2025. With complementary product portfolios and a broader global footprint across North America, Europe, and Asia, OlinHuntsman will be better positioned to serve customers and capture growth opportunities. Olin’s Winchester ammunition business will continue to operate as a key part of the company.

Stronger Vertical Integration: The merger combines Olin’s chlorine and caustic soda production capabilities with Huntsman’s specialty products and formulation expertise. This will improve operational efficiency, lower costs, strengthen margins, and support long-term growth.

More Than USD 400 Million in Synergies: The companies expect to achieve over USD 400 million in cost savings and integration benefits. More than USD 300 million is expected within the first three years through procurement efficiencies, raw material integration, operational improvements, and lower administrative costs. An additional USD 100 million in raw material benefits is expected from 2031 onwards, along with approximately USD 125 million in tax benefits.

Improved Financial Strength: The all-stock merger structure will help maintain a strong balance sheet while improving earnings and cash flow generation. The combined company plans to focus on safe and reliable operations, a stable dividend policy, debt reduction, and investments in future growth opportunities.

Leadership, Governance and Transaction Details

The combined company will be led by an experienced management team and Board of Directors comprising leaders from both Olin and Huntsman. Following the completion of the merger, Olin President and CEO Ken Lane will become Chief Executive Officer of OlinHuntsman, while Huntsman Chairman, President and CEO Peter Huntsman will serve as Non-Executive Chairman of the Board. Huntsman’s Executive Vice President and CFO, Phil Lister, will assume the role of Chief Financial Officer of the combined company.

The Board of Directors will consist of ten members, with equal representation from both companies, including Ken Lane and Peter Huntsman. To support the successful integration of the businesses and delivery of planned synergies, Olin’s current Senior Vice President and CFO, Todd Slater, will serve as Chief Integration Officer. A dedicated Strategic Integration Committee of the Board will oversee the integration process and synergy realization efforts.

Following the merger, OlinHuntsman will establish its headquarters in The Woodlands, Texas.

Under the terms of the agreement, Huntsman shareholders will receive 0.5476 Olin shares for each Huntsman share held. Upon completion of the transaction, Olin shareholders are expected to own approximately 54.5% of the combined company, while Huntsman shareholders will hold the remaining 45.5%. According to Peter Huntsman, the exchange ratio was determined using the volume-weighted average share prices of both companies over the 30-day period ending June 12, 2026. The structure is intended to provide fair value to shareholders of both companies while reflecting prevailing market conditions.

The transaction has received unanimous approval from the boards of both companies and is expected to close in the first half of 2027, subject to regulatory approvals, shareholder approvals, and other customary closing conditions.

Source: Huntsman