Abu Dhabi National Oil Company (ADNOC) and its Austrian chemicals partner Borealis plan an initial public offering of their petrochemicals joint venture Borouge, the latest step in the Abu Dhabi state energy group's asset monetisation programme, said Reuters.
The offering will consist of around 3bn ordinary shares representing 10% of the petrochemical producer’s issued share capital, Borouge said in a statement. The offering will run from 23 May to 28 May for retail investors.
The company expects its shares to be admitted for trading on the ADX on 3 June. Borouge is a 50:50 joint venture between Abu Dhabi National Oil Company (ADNOC) and Austria-based producer Borealis.
Under the IPO plan, ADNOC will hold a 54% shareholding in Borouge, while Borealis' stake will be 36% in the joint venture firm. Borouge’s production capacity currently stands at around 2.7m tonnes/year of polyethylene (PE) and 2.2m tonnes/year of polypropylene (PP), according to the company.
The company in March this year started up its new 480,000 tonne/year fifth polypropylene (PP) unit at its Ruwais site.
We remind, Borealis (Vienna), a leading producer of polyolefins, has delayed the start-up of a new, world-scale propane dehydrogenation (PDH) plant at its existing production site at Kallo, Belgium, which is the company's biggest investment in Europe, until Q3 2023, citing Covid-19. The plant in Kallo in the port of Antwerp was previously targeted to begin operations by the end of next year.
Borealis is owned by OMV AG and Mubadala Investment Co., the Abu Dhabi state investment company. Borealis is a leading provider of innovative solutions in the fields of polyolefins, base chemicals and fertilizers. With headquarters in Vienna, Austria, Borealis currently employs around 6,500 and operates in over 120 countries.
mrchub.com