Arkema has announced plans to sell its half of oxo alcohols manufacturer Oxochimie, along with associated businesses, to joint venture partner Ineos. The company based at Lavera, France, is one of Europe’s largest producers of the petrochemical raw materials n-butanol, 2-ethylhexanol, isobutanol, n-butyraldehyde and isobutyraldehyde.

Terms of the deal are due to be finalized shortly, following talks with the company’s works councils and regulatory approvals. Arkema said the sale of its Oxochimie stake is part of a plan to divest assets with €700 million in annual sales.

The French specialty chemicals producers uses part of the Lavera output as a feedstock for its European acrylic esters production. The remaining volumes are sold on the free market, in particular as plasticisers for PVC, and generate annual sales of around €40m. As sole owner of Oxochimie, Ineos will continue to supply Arkema’s acrylic esters production.