Finance
Factbox-ADNOC's deals with European companies
Published by Global Banking and Finance Review
Posted on February 3, 2025
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(Reuters) -State-owned Abu Dhabi National Oil Co, or ADNOC, has been pursuing a series of merger and acquisition deals with European companies, with an aim to diversify and develop its chemicals and renewable energy operations.
Here are the deals and talks ADNOC is involved in:
COVESTRO
ADNOC said on Oct. 1 it had agreed to buy German chemicals producer Covestro for 14.7 billion euros ($15.1 billion), one of the biggest foreign takeovers by a Gulf state which is aimed at diluting the country's heavy dependence on oil in the energy transition.
OMV
Austrian oil and gas group OMV and ADNOC said on Jan. 31 they were considering a joint venture to acquire Canada's Nova Chemicals if its owner, the Abu Dhabi sovereign wealth fund Mubadala, agrees.
Austrian oil and gas company OMV and ADNOC have been in talks since 2023 over a planned $30 billion merger between petrochemicals group Borealis - owned by OMV and ADNOC in a 75:25 split - and Abu Dhabi-listed Borouge, which is 54:36 owned by ADNOC and Borealis.
The proposed acquisition would create a global polyolefin group, which would combine Nova Chemicals, Borealis and Borouge, according to the January statement.
ADNOC also confirmed that the talks on the merger of Borealis and Borouge were ongoing in a positive manner.
In February 2024, ADNOC closed the acquisition of a 24.9% stake in OMV, increasing its holdings in both Borealis and Borouge. It did not disclose the ownership ratios at the time.
FERTIGLOBE
ADNOC agreed in December 2023 to take over European chemical producer OCI's entire stake in ammonia and urea producer Fertiglobe for $3.62 billion, becoming its largest shareholder.
($1 = 0.9767 euros)
(Reporting by Tristan Veyet, Isabel Demetz in Gdansk; editing by Milla Nissi)