Acquisition Lyondell Basell to Buy A. Schulman for 2.25 Billion Dollars

Editor: Ahlam Rais

Both the companies have entered into a definitive agreement. With this business deal, Lyondell Basell plans to create a premier Advanced Polymer Solutions business with broad geographic reach, leading technologies and a diverse product portfolio.

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Lyondell Basell expects to achieve 150 million dollars in run-rate cost synergies within two years.
Lyondell Basell expects to achieve 150 million dollars in run-rate cost synergies within two years.
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Houston/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.

Under the terms of the agreement, Lyondell Basell will acquire A. Schulman for a total consideration of 2.25 billion dollars. Lyondell Basell will purchase 100 % of A. Schulman common stock for 42 dollars per share in cash and one contingent value right per share and assume outstanding debt and certain other obligations.

Lyondell Basell is using cash-on-hand to finance the acquisition. Lyondell Basell 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.

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