SABIC to complete purchase of stake in Clariant
SABIC is the world’s third largest diversified chemical company, and has been a long-standing partner of Clariant in the company’s Catalyst joint venture, Scientific Design.
It entered into a purchase agreement regarding the acquisition of the stake in Clariant in January 2018, and has now received the final outstanding regulatory approvals from the competition authorities.
This means an unconditional closing of the purchase is now possible, making SABIC Clariant’s largest strategic anchor shareholder, and second anchor shareholder beside the group of former shareholders of Süd-Chemie.
“With SABIC receiving all the regulatory approvals and the transaction set to be completed, we look forward to further developing the strategic relationship between both companies in order to generate value for all stakeholders”, said Hariolf Kottmann, CEO of Clariant.
The two companies say they are discussing possible future collaborations that will generate value for the stakeholders of both companies, and any outcome of these discussions will be presented in due course.
Saudi Arabia headquarters: MENA focus?
SABIC is headquartered in Riyadh, Saudi Arabia, and while it manufactures on a global scale in the Americas, Europe, Middle East, the move will no doubt particularly strengthen Clariant’s position in the Middle East and North Africa (MENA) region.
Earlier this year, Clariant’s annual financial results showed sales growth in local currency was strongest in the Middle East & Africa in 2017, at 15%.
Sales in Asia rose by 12%, lifted by a ‘remarkable sales development’ in China, Southeast Asia and Japan, and sales grew by 7% in Europe.
In local currency of Swiss francs, the company saw its sales jump to CHF 6.377 billion, with net income climbing by 15% to reach CHF 302 million.