Updated from 10:38 AM EDT.
NEW YORK (TheStreet) -- Shares of Chemtura (CHMT) were soaring 15.76% to $32.62 on heavy trading volume late Monday afternoon after German synthetic rubber maker Lanxess offered to buy the company for $33.50 per share.
SunTrust cut its rating on Chemtura stock to "neutral" from "buy" following the offer. The firm believes the price is fair and it does not expect any higher bids, the Fly reports.
The offer is a premium of about 19% to Chemtura's closing price on Friday.
The Philadelphia-based company manufactures industrial specialty chemicals.
More than 20 million of Chemtura's shares traded so far today vs. its average 30-day volume of 448,272 shares.
Separately, TheStreet Ratings Team has a "Buy" rating with a score of B+ on Chemtura stock.
The company's strengths can be seen in multiple areas, such as its increase in net income, largely solid financial position with reasonable debt levels by most measures and good cash flow from operations.
The team believes its strengths outweigh the fact that the company has had lackluster performance in the stock itself.
Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
You can view the full analysis from the report here: CHMT