OMAHA, Neb. (AP) — Berkshire Hathaway is buying Occidental Petroleum’s chemical division for $9.7 billion in what may be the last big acquisition involving the consummate dealmaker, Warren Buffett.

Buffett wasn’t mentioned anywhere in materials released last week by Berkshire Hathaway discussing the deal, potentially signaling a passing of the torch to Vice Chair Greg Abel, to whom Buffet will hand the CEO title in January.

Buffett will remain chairman at Berkshire and will still be involved in deciding how to spend the conglomerate’s colossal pile of more than $344 billion cash.

Berkshire’s cash reserves have been growing for years because Buffett has been unable to find any major acquisitions at attractive prices since completing the $11.6 billion acquisition of Alleghany Insurance in 2022.

Prices for big acquisitions have been driven higher in recent years by the entry of more hedge funds in the market.

OxyChem makes products such as chlorine for water treatment, vinyl chloride for plastics and calcium chloride that’s used to treat icy roads along with an assortment of other chemicals.

It should fit nicely within Berkshire alongside Lubrizol, which Buffett bought in 2011 for $9 billion.

“Berkshire is acquiring a robust portfolio of operating assets, supported by an accomplished team,” Abel said in a prepared statement. “We look forward to welcoming OxyChem as an operating subsidiary within Berkshire.”

OxyChem generated $213 million in pretax earnings for Occidental in the second quarter, though that is down from last year when it generated nearly $300 million for the company.

This year, Occidental has been selling off some of its assets in the Permian Basin to generate $950 million to pay down debt.

Since it completed the CrownRock acquisition in December 2023, Occidental has sold off approximately $4 billion worth of assets to help it pay down $7.5 billion in debt. The OxyChem deal will accelerate that.

Occidental expects to use $6.5 billion of proceeds from the Berkshire deal to lower debt and achieve the target of principal debt below $15 billion set following the announcement of its CrownRock acquisition.

Berkshire held more than 28 percent of Occidental’s stock and had warrants to buy another 83,911,942 shares in the major oil and gas producer for $59.586 per share before this deal.

Berkshire also held about $8.5 billion worth of preferred Occidental shares that it picked up in 2019 when it helped finance the oil producer’s purchase of Anadarko that Occidental has been paying 8 percent dividends on every year.

Buffett had previously told Berkshire investors that he wouldn’t sell off the Occidental stake and he has been periodically buying more shares, but he also told shareholders in 2023 that he had no plans to buy all of Occidental.

The OxyChem deal is expected to close in the fourth quarter of this year.