Saudi Aramco Expands Ownership in Petrochemical Joint Venture with Sumitomo Chemical
Wednesday, 7 August 2024, 06:14
Saudi Aramco's Strategic Investment
Saudi Aramco has agreed to a $702 million transaction with Japan's Sumitomo Chemical to acquire a 22.5% stake in the petrochemical joint venture, Petro Rabigh. This move significantly alters the ownership structure of the venture.
Details of the Deal
- Aramco and Sumitomo will each provide funding of $702 million.
- Both entities will waive loans totaling $1.5 billion.
- Aramco's ownership will increase to 60%, while Sumitomo's will decrease to 15%.
Conclusion
This acquisition underscores Aramco's commitment to enhancing its portfolio in the petrochemical sector and adjusting its strategic alliances as market conditions evolve.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.