German chemicals group Lanxess will sell its remaining 50 per cent stake in synthetic-rubber joint venture Arlanxeo to its partner Saudi Aramco.

Lanxess expects to receive about 1.4 billion euros ($1.62 billion) in cash after deducting debt and other financial liabilities for the 50 per cent stake, it said in a statement on Wednesday.

That values Arlanxeo at 3.0 billion euros, it added.

The parties expect to complete the transaction by the end of 2018.