Huntsman projects early‑2027 close of Olin merger with $300 M synergy target and $100 M EBITDA boost
Huntsman Corp said it expects to complete its merger with Olin by early 2027. The company is targeting $300 million of cost and revenue synergies from the deal and an additional $100 million from expiring chlorine contracts, which should lift 2026 EBITDA by about $100 million versus 2025. Management also indicated that operating cash flow should be sufficient to fund capex and the dividend, with a $82 million free‑cash‑flow inflow in Q3 and a larger cash inflow anticipated in Q4.
Why it matters
The projected $100 million EBITDA improvement and $300 million synergy target could enhance Huntsman's earnings and cash generation, supporting its dividend and capex plans. The merger timing and synergy expectations may also affect analysts’ valuation models for both Huntsman (HUN) and Olin (OLN).
Key facts
- 1Huntsman expects the merger with Olin to close in early 2027. seekingalpha.com
- 2The company targets $300 million in synergies from the Olin merger. seekingalpha.com
- 3An additional $100 million is expected from expiring chlorine contracts. seekingalpha.com
- 4Huntsman anticipates a $100 million improvement in 2026 EBITDA versus 2025. seekingalpha.com
- 5Q3 2026 EBITDA was boosted by $100 million, according to the earnings call. finance.yahoo.com
- 6Capex for 2026 is expected to be about $160 million, with $82 million cash inflow in Q3. finance.yahoo.com
Summary written by AlphAI AI Desk from 3 of 3 sources. Not investment advice. Figures are as stated by the linked sources.