Lanxess Slumps as Failed Asset Sale Raises Risk of Junk Rating

Lanxess AG shares fell to their lowest since 2009 after the German chemicals company failed to complete an asset sale, raising concerns it could lose its investment-grade credit rating.

Advent will not acquire Lanxess’ 41% stake in their Envalior high-performance materials joint venture this year, Lanxess said in a statement on Thursday after market close. The German company decided in September to exercise its right to sell the stake to Advent, subject to the private equity firm being able to secure financing.