Flint Hills Resources, a subsidiary of Koch Industries, is buying PetroLogistics, a major producer of propylene with operations in the vicinity of the Houston ship channel, according to a news release issued by Koch and Flint Hills Resources.
The all-cash transaction for the Houston-based company is valued at about $2.1 billion, including the assumption of debt. The deal is expected to close before the end of the year.
“PetroLogistics built this facility from the ground up. It is a world-class operation,” said Brad Razook, Flint Hills Resources president and chief executive officer, in a statement.