Advanced Polymer Solutions Lyondell Basell to Acquire A. Schulman for 2.25 Billion Dollars
The acquisition will help Lyondell Basell to develop its premier Advanced Polymer Solutions business for the global audience.
Texas/USA – Lyondell Basell, one of the largest plastics, chemicals and refining companies in the world, and A. Schulman, a leading global supplier of high-performance plastic compounds, composites and powders have recently announced that they have entered into a definitive agreement under which Lyondell Basell will acquire A. Schulman for a total consideration of 2.25 billion dollars. The acquisition builds upon Lyondell Basell’s existing platform in this space to create a premier Advanced Polymer Solutions business with broad geographic reach, leading technologies and a diverse product portfolio.
Lyondell Basell is using cash-on-hand to finance the acquisition. The company expects to achieve 150 million dollars in run-rate cost synergies within two years, primarily by leveraging its well-established approach to cost discipline and productivity, as well as its culture of operational, business and commercial excellence. Further, the acquisition is expected to be accretive to earnings within the first full year following close.
The proposed acquisition, which has been unanimously approved by the respective boards of Lyondell Basell and A. Schulman, is subject to customary closing conditions, including regulatory approvals and approval by A. Schulman shareholders. The acquisition is expected to close in the second half of 2018.