June 5, 2025 14:50

Concerns over a gradual retreat by global petrochemical giants from Europe are increasingly being borne out by market developments.

Following the strategic review of its European operations announced last year, polyolefins leader LyondellBasell confirmed today that it has entered into advanced negotiations with German investment group Aequita for the divestment of a number of key assets in its olefins and polyolefins portfolio.
The agreement includes production sites located in Berre, France; Münchsmünster, Germany; Carrington, United Kingdom; and Tarragona, Spain.

In total, the assets involved represent an annual production capacity of 1.4 million tonnes of ethylene and propylene, nearly 1 million tonnes of polypropylene, and 650,000 tonnes of polyethylene, in addition to associated derivatives.

From a financial standpoint, the transaction is structured as a put option deed under which Aequita has committed to enter into an agreed form purchase agreement if LyondellBasell exercises its put option, after conclusion of certain works council consultation processes. Subject to regulatory approvals and standard closing conditions, deal completion is expected in the first half of 2026.

The proposed transaction includes both integrated and standalone facilities within LyondellBasell’s European olefins and polyolefins division, as well as central support functions based at the company’s Rotterdam headquarters and various locations.

“This contemplated transaction is a significant step in LYB’s transformation to grow and upgrade our core,” said CEO Peter Vanacker. “We are committed to operating our assets safely and reliably throughout this process and will continue to support our customers, employees and other key stakeholders.”
“Europe remains a core market for LYB and one we will continue to participate in, following this transaction with more of a focus on value creation through establishing profitable leadership in circular and renewable solutions.”

Aequita, based in Munich, is an international investment firm specializing in the transformation and growth of midsize companies, particularly in special situations such as corporate carve-outs and business restructurings.

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