Saudi Arabia’s oil giant Aramco has acquired 70 per cent of Saudi Basic Industries Corporation (SABIC) in four transactions for a combined investment of $69.1 billion, Zawya reports.
The deals posted on the Saudi Stock Exchange Tadawul, stressed that one SABIC share was priced at 123.39 riyal ($32.86).
The takeover has been on the pipeline since last year after Aramco signed with Saudi Arabia’s sovereign wealth fund, the Public Investment Fund (PIF), for a majority shareholding in the petrochemicals company, Zawya notes. The payment will be done in part by four bonds issued by Aramco to the PIF.
SABIC manufactures petrochemicals including ethylene, ethylene dichloride, caustic soda, styrene monomer and methyl tertiary butyl ether. The company is the world’s fourth largest petrochemicals firm.
Aramco takes control of SABIC after injection of $69.1 billion
