Saudi Aramco and German specialty chemicals producer Lanxess have announced plans for a 50:50 joint venture, valued at €2.75bn ($3.07bn), which will produce and market synthetic rubbers to the global tyre, automotive parts, construction and oil and gas industries.
The Saudi state oil giant’s subsidiary, the Aramco Overseas Company (AOC), will take equity in the joint venture company by means of a share subscription. Aramco says it will “bring financial stability, additional scale and resources” to the venture, which will operate Lanxess’s existing synthetic rubber operations. Aramco says Lanxess will contribute its entire synthetic rubber business to the JV, comprising 20 production units and four global research centers in nine countries across Europe, Asia and the Americas. (CONTINUED - 477 WORDS)
