11 May 2007 15:00 [Source: ICIS news]
TORONTO (ICIS news)--Occidental Petroleum plans to sell its entire 8.3% stake, almost 21m shares, in US petrochemicals and refining major Lyondell, it said in a statement on Friday morning, just before stock markets opened.
Occidental already sold 7m Lyondell shares, for $32/share, to an unidentified buyer in a private deal, it said.
It also entered into a swap deal for the remaining 14m shares. The swap would enable it to achieve a price of around $32/share for those shares, it said.
Occidental plans to sell the remaining 14m shares in open market sales in the next few months.
The divestment is expected to yield $520m (€385m) in proceeds and a net gain of about $200m, the Los Angeles, California-based oil and gas major said.
Lyondell’s shares closed at $33.07/share, down 1.4%, on Thursday in ?xml:namespace>
Trading in the stock was highly volatile after markets opened on Friday morning, with the stock rising quickly by 6% to over $35/share.
($1 = €0.74)
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