01 February 2010 14:42 [Source: ICIS news]
(Adds background and quotes from paragraph 6)
US-based Sunoco would receive $350m in return for the PP business of Sunoco Chemicals, on the basis that the deal closes within 60 days, Braskem said.
“The acquisition of Sunoco Chemicals provides Braskem with a solid and competitive platform for growth in the world’s biggest market, which will complement its ongoing internationalisation strategy through important ?xml:namespace>
Included in the sale were Sunoco's polypropylene manufacturing facilities located at Marcus Hook in
Braskem expected to use the industrial and commercial base created by the deal for future acquisitions and to increase its presence in the
Sunoco’s chairman and CEO, Lynn Elsenhans, said: "The sale of our polypropylene business demonstrates the company's continued progress in realigning our portfolio of assets and improving returns on invested capital. This transaction produces value for our shareholders by monetising a business that has not been able to meet its cost of capital and provides us with capital to redeploy for future growth in our areas of strategic focus."
Sunoco said in a separate statement on its website that it would be retaining its phenol and derivatives business, which has manufacturing assets at
On 22 January, Braskem consolidated the petrochemical arms of
The acquisition of Sunoco's PP business, which ICIS news reported last week as a likely deal, was subject to regulatory approval and customary closing conditions, and was expected to close on or before 31 March 2010.
($1 = €0.72)
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