The agreement is an important achievement within ADNOC’s strategy for international growth and expansion, approved by its Board of Directors, which focuses on chemicals, gas, liquefied natural gas, and low-carbon energy..
This acquisition, when fully implemented, supports the goal of “ADNOC“To become among the top 5 global companies in the field of chemicals.
And you will becomeCovestro“The foundational platform for ADNOC’s business in the field of high-performance materials and specialty chemicals, and will enhance the diversification of its business portfolio in chemicals, as Covestro’s business in the field of specialty chemicals is in line with ADNOC’s ambitious strategy for growth in this vital field, as well as with the UAE’s commitment By achieving global leadership in the uses of modern technology.
What did they say about the deal?
Sheikh Abdullah bin Zayed Al Nahyan, UAE Minister of Foreign Affairs, said that the potential deal to acquire “ADNOC International“The German company “Covestro” will constitute an important step for ADNOC and the UAE and will contribute to strengthening the strategic relationship between the UAE and Germany, adding that “Covestro” company, with its extensive experience in the advanced and sustainable chemicals sector, will constitute a qualitative addition to achieving ADNOC’s strategy for growth in this sector..
For his part, Dr. Sultan Al Jaber, Minister of Industry and Advanced Technology, Managing Director and CEO of ADNOC and its group of companies, said: “In line with the leadership’s vision of supporting sustainable economic growth, we are pleased to conclude this agreement with “Covestro”, which is a world-class company, which owns a group It has a large number of advanced technologies, and occupies a leading position in employing artificial intelligence solutions and applications to accelerate chemical production, through the use of innovative technology.“.
Al Jaber added: “This strategic partnership is consistent with ADNOC’s strategy for smart growth and achieving a qualitative leap to ensure that its business keeps pace with the future and advances towards its goal of becoming one of the five largest global chemicals companies.”“.
He said: “The agreement represents an important step for both parties, and reflects ADNOC’s responsible approach, which focuses on investing in strategic assets that achieve meaningful long-term value and provide new opportunities for growth, in conjunction with ADNOC’s commitment to diversifying its business portfolio.” “.
The Minister of Industry and Advanced Technology added: “The compatibility between the strategies of ADNOC and Covestro contributes to consolidating their leading position, meeting the growing global demand for energy and chemical products, and supporting the circular economy.”“.
“Covestro praises the historic deal
For his part, Dr. Markus Steleman, CEO of Covestro, confirmed that the investment agreement concluded between ADNOC International and Covestro will enhance the company’s sustainable growth, stressing the two companies’ commitment to advanced technologies, innovation and sustainability..
Stillman said: “We are confident that the agreement reached today with ADNOC International is in the interest of Covestro, our employees, our shareholders, and all our partners.”“.
He added: “With the support of ADNOC International, we will have a stronger foundation for achieving sustainable growth in attractive sectors, enabling us to contribute more to the green growth process. ADNOC International is a company with high financial capabilities and a long-term partner, and we will continue to work to enhance Our successful strategy, “Sustainable Future,” in various market conditions“.
“Reliance Industries”
Reliance Industries, owned by Indian billionaire Mukesh Ambani, also expressed its congratulations to ADNOC International on its offer to acquire Covestro.
She said the potential acquisition of Covestro would not only enhance the company’s core capabilities, but also highlight the development of the broader industry.
She added: “Thanks to forward-looking leadership and strategic vision, the talented ADNOC team was able to achieve this deal. We at Reliance look forward to seeing the positive impact this deal will bring to the market, the industry, and to the future growth of Covestro.”
It is noteworthy that “Covestro” is one of the leading companies in the German industrial sector, and is a major producer of “polyurethane”, “polycarbonate”, and high-performance materials needed for vital industrial applications.
The company operates in various regions of the world, generating more than half of its revenues from the Asia-Pacific and North America regions.
Given the positive long-term outlook for the chemicals sector, Covestro represents an attractive investment for ADNOC, thanks to its possession of leading facilities and technologies and a distinguished management team..
Acceptance of the takeover offer will be subject to a minimum amount of (50% + one share) of the company’s issued capital, in addition to obtaining the required regulatory approvals..
