ChemChina Announces Strategic Investment by Blackstone

09-12-2007: China National Chemical Corporation ("ChemChina") and The Blackstone Group announced a strategic partnership to build a global leader in the specialty chemical industry. The Blackstone Group will invest up to US$ 600 million into China National Bluestar (Group) Corporation, a wholly-owned subsidiary of ChemChina, for a 20% stake. Antony Leung and Ben Jenkins, a former director of Celanese, will join the board.

Commenting on the deal, Mr. Ren Jianxin, Chairman, ChemChina stated, "We are excited to have Blackstone as a long term partner. Given Blackstone's extensive and successful experience in the global chemical industry, notably past ownership of Celanese Corp. and Nalco Company, this investment will assist Bluestar in its growth and expansion.

UBS AG acted as financial advisor to ChemChina, and Merrill Lynch acted as financial advisor to Blackstone on this transaction. The transaction is subject to final regulatory approvals.