Berkshire to acquire Occidental's OxyChem for $9.7B

Berkshire Hathaway said Thursday it will acquire Occidental Petroleum's chemical unit, OxyChem, for $9.7 billion, a deal that will add a large industrial chemicals business to Berkshire's portfolio and provide Occidental with proceeds to reduce its debt load. The companies said the transaction is expected to close in the fourth quarter.

OxyChem produces chlorine, vinyls and other specialty chemicals used in water treatment, medical supplies, food packaging and construction. The unit reported roughly $2.4 billion in revenue in the first half of 2025 and about $5 billion in sales over the past year. Occidental reported second-quarter pretax earnings from OxyChem of $213 million, down from nearly $300 million a year earlier.

Berkshire, led by Warren Buffett, is already Occidental's largest shareholder, holding roughly 28 percent of the company's outstanding stock and earlier providing financing that included preferred shares and warrants. Berkshire's cash holdings, which stood at about $344 billion at the end of June, provide the liquidity to fund the acquisition. Berkshire has said Buffett, 95, will step down as chief executive at the end of 2025; he will remain chairman and Greg...