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Loeb's hedge fund Third Point blasts Dow Chemical 'lack of transparency'
February 12, 2014 / 8:45 PM / in 4 years

Loeb's hedge fund Third Point blasts Dow Chemical 'lack of transparency'

Feb 12 (Reuters) - Dow Chemical Co’s lack of transparency makes it difficult to determine whether the petrochemical giant should be split up or kept together, billionaire hedge fund investor Daniel Loeb’s Third Point LLC said on Wednesday.

Third Point last month announced a major stake in Dow Chemical, the largest U.S. chemical maker, saying the company should spin off its lucrative but slow-growing petrochemical unit and focus on specialty materials.

In a filing with the U.S. Securities and Exchange Commission on Tuesday night, Dow Chemical said it had conducted an internal review and found that breaking up the company would not help shareholders.

Third Point said on Wednesday that Dow’s “lack of transparency” makes it difficult to determine how that decision was reached. The hedge fund said it was prepared to sign a non-disclosure agreement with Dow Chemical in order to review the company’s records and arrive at its own conclusion.

A Dow Chemical representative was not immediately available to comment.

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