Solutia is part of Eastman Chemical

International. Eastman Chemical, a U.S. chemical company, recently confirmed the acquisition of Solutia at a cost of $4.7 billion, in order to bolster its share of the Asia-Pacific market.

The purchasing company will also take care of Solutia's current debt, which is estimated at about US$1.32 billion, a figure that adds to the total cost of the transaction. Each Solutia shareholder will receive $22 in cash and 0.12 Eastman Chemical shares per share.

Jim Rogers, President of Eastman Chemical, said: "The purchase of Solutia is an important step in our growth strategy, and will expand our geographic reach to emerging regions, particularly Asia-Pacific."

Now, the end of the transaction is subject to the decision of Solutia's shareholders, who experienced a rise in their shares on the stock exchange (40.54%) revaluing by 14.73% in the last 12 months.