The news are: Dow Chemical capitulates, and agrees to Buy Rohm & Haas

My previous comment on this deal:

http://bassamnoor.blogspot.com/2008/12/kuwaiti-government-is-better-off.html

- Two main shareholders of Rohm & Haas will invest as much as $3 bil in the combined chemical company
- Dow agrees to pay the original $78 / share plus penalties, which equals $16.3 bil

- To pay for the purchase, Dow will utilise:

1. $10 bil from short-term bank loan
2. $3 bil funding from Berkshire Hathaway
3. $1 bil funding from Kuwait Investment Authority ("KIA")

That's according to Wall Street Journal.

What's the role KIA playing? What's the $1 bil? Is it penalty, loan, preferred shares .... etc?

Remember that when Kuwait pulled out of the transaction, Dow threatened to sue Kuwait for fees and penalties. Then suddenly the whole threatening remarks stopped. Few weeks pass, and we read that KIA is investing $1 bil. Where’s the transparency?