The deal follows the recent failure by Basell to acquire Huntsman

Having recently lost its bid to acquire Huntsman, Basell has turned its attentions to another major US chemical concern – Lyondell Chemical. The polyolefins major has agreed to buy Lyondell’s outstanding common shares with a cash offer of $48 per share, valuing the Texas-based business at $19bn. The joint revenues of the two companies achieved in 2006 with their 15,000 employees amounted to $34bn.

Along with the chemical businesses of Lyondell in ethylene, co-products and derivatives, propylene oxide and related products and refining, Basell will also be acquiring Lyondell’s polyethylene and styrene polymer products interests. Subject to shareholder and regulatory approval, the deal is expected to be finalised within the next few months.