SABIC Acquires Strategic Stake in Clariant AG From 40 North and Corvex
SABIC, a world leader in chemicals, has agreed to acquire approximately 83 million shares in Clariant AG, a global specialty chemicals company, from 40 North and Corvex Management. The acquisition of this approximately 24.9% stake in Clariant AG will make SABIC the largest Clariant AG shareholder and represents another key milestone in SABIC’s growth and diversification strategy to become the preferred world leader in chemicals.
Yousef Al-Benyan, SABIC’s vice chairman and CEO, said, “This acquisition is part of SABIC’s long-term growth strategy to remain committed to product differentiation and creating value for its customers. Clariant AG is complementary to SABIC’s existing specialties business and is well in line with SABIC’s strategy of opening up new growth opportunities in specialty chemicals.”
SABIC currently has no plans to launch or otherwise effect a full takeover of Clariant AG.
SABIC and Clariant AG have already had a successful relationship in their joint venture, Scientific Design, a process technology and catalyst development company. SABIC is looking forward to engaging in discussions with the company.
David Winter, Co-CEO of Standard Industries and Co-CIO of 40 North, said, “SABIC is an established global leader in the chemicals industry with a world-class management team and a long-term, sophisticated vision for the future. We are confident that this transaction allows Clariant AG to continue its path to becoming a global specialty chemicals leader.”
David Millstone, Co-CEO of Standard Industries and Co-CIO of 40 North commented, “We have been significant shareholders of Clariant AG since 2016. SABIC’s strategic investment in Clariant AG is a successful outcome and we are pleased to have played a role in making it possible.”
The closing of the transaction is subject to completing regulatory approvals.
Source: The Saudi Gazette
Since SABIC’s founding, its employees have exhibited a remarkable ability to do what others said couldn’t be done.
Ranked among the world’s largest petrochemicals manufacturers, SABIC is a public company based in Riyadh, Saudi Arabia. 70% of the Company’s shares are owned by the Saudi Arabian government, with the remaining 30% publicly traded on the Saudi stock exchange. SABIC began in 1976 by Royal decree and its growth has been nothing short of miraculous. Today, the company has operations in over 50 countries with a global workforce of over 35,000 talented individuals.