General Chemical Sets $0.62 Per-Share Subscription Price for $10 Million Rights Offering

Apr 17, 2001, 01:00 ET from The General Chemical Group Inc.

    HAMPTON, N.H., April 17 /PRNewswire/ -- The subscription price for the
 previously announced rights offering of The General Chemical Group Inc.
 (NYSE:   GCG) will be $0.62 per share, and the subscription ratio will be 0.77.
 Total proceeds will be $10 million and approximately 16,129,000 shares will be
 issued, thereby increasing the total common shares outstanding to
 approximately 37,018,000.
     Holders of common stock of General Chemical will receive, at no cost,
 0.77 rights for each share of common stock held at the close of business
 yesterday, April 16, 2001.  Each whole right will entitle its holder to
 purchase one share of common stock for $0.62.  There will be significant
 restrictions on the transferability of the rights. The company will not issue
 fractional rights or shares; therefore, if the number of shares of common
 stock held by a shareholder on the record date would result in receipt of
 fractional rights, the number of rights issued to that shareholder will be
 rounded up to the nearest whole number.
     Rights holders who exercise their rights in full will be eligible to
 subscribe for additional shares of common stock that are not purchased by
 other rights holders.  Paul M. Montrone, chairman of General Chemical Group's
 Board of Directors and beneficial owner of approximately 47% of the company's
 common shares, has committed to purchase his pro rata portion of the shares
 being offered, as well as any shares offered but not purchased by other
 shareholders.
     Subscription warrants evidencing the rights will be mailed this week,
 along with a prospectus, to General Chemical's shareholders of record by
 Mellon Investor Services LLC, the subscription agent for the offering.
     The rights offering expires at 5:00 p.m. Eastern Daylight Time (EDT) on
 May 11, 2001.  Rights holders desiring to purchase shares in the offering must
 pay the subscription price in full prior to that date.
     General Chemical Group is a leading producer of soda ash, serving
 worldwide markets, and of calcium chloride, serving North American markets.
 Additional information about the company is available online at
 www.genchem.com.
 
     This announcement includes forward-looking statements. The General
 Chemical Group Inc. has based these forward-looking statements on its current
 expectations and projections about future events.  Although The General
 Chemical Group Inc. believes that its assumptions made in connection with the
 forward-looking statements are reasonable, no assurances can be given that its
 assumptions and expectations will prove to have been correct. These forward-
 looking statements are subject to various risks, uncertainties and
 assumptions. The General Chemical Group Inc. undertakes no obligation to
 publicly update or revise any forward-looking statements, whether as a result
 of new information, future events or otherwise.  In light of these risks,
 uncertainties and assumptions, the forward-looking events discussed in this
 announcement might not occur.
 
 

SOURCE The General Chemical Group Inc.
    HAMPTON, N.H., April 17 /PRNewswire/ -- The subscription price for the
 previously announced rights offering of The General Chemical Group Inc.
 (NYSE:   GCG) will be $0.62 per share, and the subscription ratio will be 0.77.
 Total proceeds will be $10 million and approximately 16,129,000 shares will be
 issued, thereby increasing the total common shares outstanding to
 approximately 37,018,000.
     Holders of common stock of General Chemical will receive, at no cost,
 0.77 rights for each share of common stock held at the close of business
 yesterday, April 16, 2001.  Each whole right will entitle its holder to
 purchase one share of common stock for $0.62.  There will be significant
 restrictions on the transferability of the rights. The company will not issue
 fractional rights or shares; therefore, if the number of shares of common
 stock held by a shareholder on the record date would result in receipt of
 fractional rights, the number of rights issued to that shareholder will be
 rounded up to the nearest whole number.
     Rights holders who exercise their rights in full will be eligible to
 subscribe for additional shares of common stock that are not purchased by
 other rights holders.  Paul M. Montrone, chairman of General Chemical Group's
 Board of Directors and beneficial owner of approximately 47% of the company's
 common shares, has committed to purchase his pro rata portion of the shares
 being offered, as well as any shares offered but not purchased by other
 shareholders.
     Subscription warrants evidencing the rights will be mailed this week,
 along with a prospectus, to General Chemical's shareholders of record by
 Mellon Investor Services LLC, the subscription agent for the offering.
     The rights offering expires at 5:00 p.m. Eastern Daylight Time (EDT) on
 May 11, 2001.  Rights holders desiring to purchase shares in the offering must
 pay the subscription price in full prior to that date.
     General Chemical Group is a leading producer of soda ash, serving
 worldwide markets, and of calcium chloride, serving North American markets.
 Additional information about the company is available online at
 www.genchem.com.
 
     This announcement includes forward-looking statements. The General
 Chemical Group Inc. has based these forward-looking statements on its current
 expectations and projections about future events.  Although The General
 Chemical Group Inc. believes that its assumptions made in connection with the
 forward-looking statements are reasonable, no assurances can be given that its
 assumptions and expectations will prove to have been correct. These forward-
 looking statements are subject to various risks, uncertainties and
 assumptions. The General Chemical Group Inc. undertakes no obligation to
 publicly update or revise any forward-looking statements, whether as a result
 of new information, future events or otherwise.  In light of these risks,
 uncertainties and assumptions, the forward-looking events discussed in this
 announcement might not occur.
 
 SOURCE  The General Chemical Group Inc.