A Koch Industries Inc unit will take PetroLogistics LP private in a deal worth $2.1 billion, including debt, gaining control of a plant that can convert cheap U.S. shale gas into propylene, a key petrochemical used to make plastics.PetroLogistics' propane dehydrogenation plant produces about 1.45 billion pounds of propylene per year. Propylene is also used to make paints, coatings, building materials, clothing, automotive parts and packaging, among other things.The unit, Flint Hills Resources LLC, a refining, chemicals and biofuels company, will also purchase all of the membership interests in PetroLogistics general partner PetroLogistics GP LLC."(PetroLogistics') capabilities are well aligned with our existing chemical and refining business," Flint Hills Chief Executive Brad Razook said in a statement.
PetroLogistics LP owns and operates propane dehydrogenation (PDH) facility. Shares of PDH fell by 0.23% or $-0.03/share to $12.93. In the past year, the shares have traded as low as $10.37 and as high as $14.20. On average, 390848 shares of PDH exchange hands on a given day and today's volume is recorded at 182101.
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