Adnoc’s long-running talks to acquire German chemicals firm Covestro had a major breakthrough this week. Covestro announced on 24 June that the firms have entered into “concrete negotiations” on the transaction after Adnoc upped its proposed bid to €62/share, valuing the firm at €11.7bn ($12.5bn). Following the announcement, Covestro’s share price increased to around €54/share.
“We have made good progress in our discussions with Adnoc. Therefore, we have decided to enter into concrete transaction negotiations with Adnoc,” Covestro CEO Markus Steilemann said. Labelling the possible offer price of €62 as the “starting point for the negotiations,” Covestro says the two firms “both intend to proceed with the negotiations about a potential transaction and the confirmatory due diligence in a timely manner.” (CONTINUED - 962 WORDS)
