Roth Capital raised the firm’s price target on Occidental (OXY) to $46 from $45 and keeps a Neutral rating on the shares. The company announced an agreement to sell its OxyChem business to Berkshire Hathaway (BRK.B) (BRK.A) (BRK) for $9.7B in an all-cash transaction with expected after-tax proceeds of $8.0B, though this was slightly below previous reports in the media of an approximate $10B sale price, the analyst tells investors in a research note. The $6.5B debt paydown will also allow Occidental to hit its corporate debt target of less than $15B by 2025-end, the firm added.
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