Zhejiang Longsheng to acquire full ownership of DyStar for $702.4m

Zhejiang Longsheng Group Co., Ltd. announced a two-pronged strategy to acquire full ownership of its subsidiary DyStar Global Holdings (Singapore) Pte. Ltd. DyStar will repurchase 20% of its shares held by KIRI Industries Limited for $426,519,921.56. Simultaneously, Zhejiang Longsheng will acquire KIRI Industries’ remaining 17.57% stake in DyStar for $275,954,485.13. The total transaction value is estimated at $702,474,406.69, based on a December 31, 2025, closing date.

This transaction, approved by Zhejiang Longsheng's board of directors, is a proactive measure to ensure full ownership of DyStar, resolving a long-standing dispute with KIRI Industries. The acquisition cost exceeds the net asset value corresponding to DyStar's 37.57% stake, which is expected to reduce Zhejiang Longsheng’s net assets post-acquisition. The company will use its own funds and bank loans for the acquisition.

The transaction is contingent on various conditions, including approvals and evidence of payment to the escrow account by December 31, 2025. This move aligns with Zhejiang Longsheng's strategic goal of becoming a leading specialty chemical production service provider.