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American Chemicals ContentsExecutive Summary 2Collinsville Plant 2Industry Overview 2Key Issues 2Valuation 2Recommendations 3Appendices 4Appendix I – Projections 4Appendix II – Computation of cost of Equity and WACC 5Appendix III – NPV Calculation – Acquisition of Collinsville Plant (without lamination) 5Appendix IV – NPV Calculation – Incremental NPV (with lamination) 5Executive SummaryDixon Corporation, a U. S. -Based chemical company, is mulling on buying a plant from American Chemical.