After nearly two years of talks, OMV and Adnoc have agreed on terms for the merger of their Borouge and Borealis polyolefins companies (MEES, 21 July 2023) to create an industry behemoth with a valuation in excess of $60bn. Upon completion, the newly created “Borouge Group International” will acquire Nova Chemicals from Abu Dhabi’s Mubadala for a purchase price of $9.4bn, with an enterprise value of $13.4bn.
The parties expect the transactions to complete simultaneously in 1Q 2026, and following start-up of the under-construction Borouge-4 plant in Abu Dhabi later that year, the merged entity will have polyolefins capacity of 13.6mn t/y across Europe, the Middle East and North America, making it the fourth largest firm in the sector behind CNPC, Sinopec and ExxonMobil. (CONTINUED - 1103 WORDS)
