THE WOODLANDS, TEXAS (October 31, 2016) - Chevron Phillips Chemical Company LLC (Chevron Phillips Chemical) announced today that it has signed an agreement with INEOS Styrolution to sell the company's K-Resin® styrene-butadiene copolymers (SBC) business. The deal is subject to customary closing conditions and regulatory approvals.
As part of the transaction, INEOS Styrolution will purchase the equity interests of K R Copolymer Co. Ltd (KRCC), which owns and operates a K-Resin® SBC plant in the Yeosu Petrochemical Complex in South Korea. Certain Chevron Phillips Chemical's proprietary K-Resin® SBC intellectual property, and other Chevron Phillips Chemical assets related to the business will also be transferred.
"K-Resin® SBC is an excellent strategic fit for INEOS Styrolution, and we are confident the business will thrive as part of INEOS Styrolution's portfolio of products," said Dave Morgan, Senior Vice President of Polymers at Chevron Phillips Chemical. "This divestiture is part of our continuous effort to focus on our core competencies. Sharpening our portfolio aligns with our strategy to pursue sustainable growth."
Most of the approximately 80 KRCC and Chevron Phillips Chemical employees affected are expected to have the opportunity to join INEOS Styrolution. A few Chevron Phillips Chemical employees may be redeployed within Chevron Phillips Chemical's organization.
KRCC is a joint venture between an affiliate of Chevron Phillips Chemical and Daelim Industrial Co. Ltd.