BP Agrees to Sell Its Petrochemical Business for $5 Billion

Oil giant BP (NYSE: BP) has agreed to sell its global petrochemicals business to leading chemicals company INEOS for $5 billion. The sale caps the company's plan to monetize $15 billion in assets, which it has now achieved one year ahead of schedule. The cash proceeds will enable the oil company to further strengthen its balance sheet and continue its strategic reimagining.

INEOS will pay BP a $400 million deposit for the petrochemical assets and another $3.6 billion when the deal closes, which the companies expect will happen by year-end. INEOS will pay the remaining $1 billion in separate installments of $100 million in March, April, and May of 2021 and the remaining $700 million in June of next year.

Image source: Getty Images.

Source Fool.com