BASF to Sell Fibers Unit to Honeywell, Buy Plastics

Tuesday January 14, 8:27 am ET



NEW YORK, Jan 14 (Reuters) - Chemicals group BASF AG (XETRA:BASF.DE - News) on Tuesday said it will sell its global nylon fibers business to Honeywell International (NYSE:HON - News) and buy Honeywell's worldwide engineering plastics unit as part of a plan to exit the fibers business and focus on plastics .

Honeywell's plastics business and BASF's nylon fibers unit each had sales of about $350 million in 2001, BASF said.



German-based BASF will pay Honeywell $170 million cash at the closing and receive $80 million back from Honeywell within one year of the transaction's close. Both deals are expected to close in the first half of the year.