Sasol and LyondellBasell’s $2 Billion Joint Venture

Latham & Watkins LLP represented Sasol in the transaction, while Kirkland counseled LyondellBasell.

Sasol and LyondellBasell have entered into a definitive agreement to form a 50/50 joint venture (JV) through which LyondellBasell will acquire 50 percent of Sasol’s 1.5 MM ton ethane cracker, 0.9 MM ton low and linear-low density polyethylene plants and associated infrastructure for a total consideration of US$2 Billion. The agreement includes customary rights for each partner regarding the potential future sale of its ownership interest. The JV will operate under the name Louisiana Integrated PolyEthylene JV LLC.

LyondellBasell (NYSE: LYB) is one of the largest plastics, chemicals and refining companies in the world. In 2020, LyondellBasell was named to Fortune Magazine’s list of the “World’s Most Admired Companies” for the third consecutive year.?

Formed in 1950, Sasol Limited (JSE: SOL) (NYSE: SSL) is an integrated energy and chemical company based in Sandton, South Africa.

Latham & Watkins LLP represented Sasol in the transaction with a corporate team led by Houston partners Ryan Maierson  (Picture) and Lauren Anderson, with Houston associates Thomas Verity, Samantha Seley, Denny Lee, Caroline Ellerbe, Sarah Dunn and Danielle Kinchen. The finance team was led by Los Angeles/New York partner Jeffrey Greenberg, while the commercial team was led by Houston partner Jonathan Castelan, with Houston associates Thomas Hillebrand, Corey Allen, Sam Bentley, and Cody Smith. Advice was also provide on antitrust matters by Washington, D.C. partner Jason Cruise and Frankfurt partner Sebastian Max Hauser, with Washington, D.C. associates Lindsey Champlin and Brian O’Connell, and Frankfurt associate Anne Haas; on tax matters by Houston partner Tim Fenn, with Houston associate Michael Rowe; on benefits and compensation matters by Washington, D.C. partner Adam Kestenbaum, with Washington, D.C. associate Kirk Porter; and on licensing matters by New York partner Steven Betensky.

Kirkland counseled LyondellBasell with a team led by transactional partners Bill Benitez, Ahmed Sidik and Chad Smith; and included environmental transactions partner Alex Farmer; technology and intellectual property transactions partner Matt Lovell; tax partner Mark Dundon; executive compensation partner Stephen Jacobson; real estate partner Josh Faulkner; and project finance partner Brian Greene.

Involved fees earner: William Benitez – Kirkland & Ellis; Mark Dundon – Kirkland & Ellis; Alexandra Farmer – Kirkland & Ellis; Joshua Faulkner – Kirkland & Ellis; Brian Greene – Kirkland & Ellis; Stephen Jacobson – Kirkland & Ellis; Matthew Lovell – Kirkland & Ellis; Ahmed Sidik – Kirkland & Ellis; Chad Smith – Kirkland & Ellis; Corey Allen – Latham & Watkins; Lauren Anderson – Latham & Watkins; Sam Bentley – Latham & Watkins; Steven Betensky – Latham & Watkins; Jonathan Castelan – Latham & Watkins; Lindsey Champlin – Latham & Watkins; Jason Cruise – Latham & Watkins; Sarah Dunn – Latham & Watkins; Timothy Fenn – Latham & Watkins; Jeffrey Greenberg – Latham & Watkins; Anne Haas – Latham & Watkins; Sebastian Max Hauser – Latham & Watkins; Thomas Hillebrand – Latham & Watkins; Adam Kestenbaum – Latham & Watkins; Denny Lee – Latham & Watkins; Danielle Maddox Kinchen – Latham & Watkins; Ryan Maierson – Latham & Watkins; Brian O’Connell – Latham & Watkins; Kirk Porter – Latham & Watkins; Caroline Robinson Ellerbe – Latham & Watkins; Michael Rowe – Latham & Watkins; Samantha Seley – Latham & Watkins; Cody Smith – Latham & Watkins; Thomas Verity – Latham & Watkins;

Law Firms: Kirkland & Ellis; Latham & Watkins;

Clients: LyondellBasell BV; Sasol Ltd;

Author: Ambrogio Visconti