Andreas Heeschen snaps up LyondellBasell equity stake

08 May 2009 12:18  [Source: ICIS news]

LONDON (ICIS news)--Andreas Heeschen, the new owner of 50% of the equity in LyondellBasell, will be a hands-off but strategic investor in the polyolefins giant, a spokeswoman for the German entrepreneur said on Friday.

Heeschen’s ProChemie Holding established a 50:50 joint venture, ProChemie GmbH, with New York financier Len Blavatnik’s Access Industries to hold the LyondellBasell equity.

The new entity is seen as a strategic joint venture for both entrepreneurs.

Heeschen believes in the recovery of the [chemicals] sector but would not be involved in any operational activities of LyondellBasell, nor its restructuring, the spokeswoman said.

Heeschen is well connected in Germany and in the Middle East, she added.

LyondellBasell affiliates in North America, a LyondellBasell company in Germany and the Luxembourg-headquartered holding company, LyondellBasell AF, are currently under US Chapter 11 bankruptcy protection, but European subsidiary companies and other assets are not.

LyondellBasell’s operational management said this week that operating profits were likely to lag behind plan in the second quarter although operating conditions appeared to be improving.

The company’s CEO, Volker Trautz, reiterated at a conference in Switzerland on Thursday management’s belief that the company would emerge from bankruptcy protection at the end of this year.

Blavatnik and Heeschen had known one another for many years and had agreed to pursue business opportunities, Andreas Heeschen’s spokeswoman said.

Heeschen had invested in the chemicals sector before and sold a stake in German detergents maker Luhns last year, but is best known for his part ownership of small arms maker Heckler & Koch.

Heeschen made his money in real estate and through his investment company Pall Mall Capital, and had been active on the London social scene.

Financial details of the transaction with Blavatnik’s Access Industries were being kept “strictly confidential”, Heeschen’s spokeswoman said.

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By: Nigel Davis
+44 20 8652 3214

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