China National Chemical Corp (ChemChina) has cleared a key regulatory hurdle in its bid to buy a controlling stake in Israeli agrochemicals maker MA Industries, MA's parent said on Wednesday.

Koor Industries, which owns 47% of MA, said it had been informed by ChemChina that the National Development and Reform Commission of China has approved the deal to buy 60% of MA, the world's largest maker of generic crop protection products.

The deal values MA at $2.4 billion, or 19.98 shekels a share. ChemChina will buy the 53% of MA held by the public for $1.272 billion and pay Koor $168 million for another 7%.

The company is still in the process of getting approvals from China's Ministry of Commerce and the State Administration of Foreign Exchange, Koor said in a statement to the Tel Aviv Stock Exchange.

Koor is controlled by Discount Investment Corp, a subsidiary of conglomerate IDB Holding Corp.