Jefferies noted that while the transaction may be "marginally dilutive" and potentially priced below market expectations, it addresses significant market concerns regarding debt overhang and what the firm described as a "chems poison pill." The sale is expected to result in $350 million of interest savings, which will partially offset the $1.2 billion loss in EBIT, resulting in approximately 5% cash flow per share dilution. According to Jefferies, Occidental Petroleum intends to accumulate cash to retire the remaining approximately $8.5 billion of preferred shares in 2029. In other recent news, Occidental Petroleum has been in the spotlight with several significant developments. HSBC upgraded Occidental Petroleum from Hold to Buy, raising its price target to $55.00, citing a valuation opportunity after the stock's recent decline.