Reliance Raises Bid for Chemical Maker LyondellBasell
February 22, 2010
The Wall Street Journal reports India''s Reliance Industries Ltd. has sweetened its offer to take control of LyondellBasell Industries when it exits bankruptcy, boosting its valuation of the chemical maker to $14.5 billion, according to a person familiar with the matter. Unlike a previous offer Reliance made, the new offer would give some creditors a chance to get cash for their claims. Creditors could also choose to receive stock in the restructured Lyondell under the new offer. A third option would allow some creditors to receive stock and also purchase additional Lyondell stock in a rights offering. Reliance''s latest offer comes after Lyondell rejected a previous sweetened bid that valued the company at around $13.5 billion. That offer had been increased from an initial November bid valuing Lyondell around $12 billion.