Kerr-McGee Corp.'s chemicals unit, New-Co Chemical Inc., has filed an initial public offering (IPO) for up to $300 million in Class A common stock. However, Kerr-McGee still holds an option to sell New-Co if the opportunity arises.
The IPO or sale of the chemicals unit was first announced in March so the company could refocus its attention on oil and gas exploration and production (see Daily GPI, March 9). About 90% of the chemicals sold by the unit last year were titanium dioxide, according to the company.
In the Securities and Exchange Commission filing on the IPO, the Oklahoma City-based producer did not specify how many shares would be offered or the price of the shares. That information is expected to be disclosed in a later filing. The underwriters are Lehman Brothers and JP Morgan.
Kerr-McGee said it wants the chemicals unit sold or spun off from the company by the end of the year.
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