company news about Adnoc Plans to Merge its Business with OMV, a $30 Billion Chemical Giant is Coming

Adnoc Plans to Merge its Business with OMV, a $30 Billion Chemical Giant is Coming

  Abu Dhabi National Oil Company (Adnoc) and Austrian Energy Company (OMV) recently announced plans to merge their plastics businesses and acquire Canadian plastics producer Nova Chemicals in the process. This move aims to integrate the polyolefin businesses of both parties to form a global chemical giant with a potential value of more than US$30 billion.

  Through this merger and acquisition, Adnoc and OMV will integrate the business units of Borealis, Borouge and Nova Chemicals, further optimize resource allocation, and enhance the acquisition of technology and raw materials. Mubadala Investment, a sovereign wealth fund headquartered in Abu Dhabi, is also involved in the negotiations. The company is currently the owner of Nova Chemicals.

Adnoc said in a statement that the negotiations with OMV were "constructive and positive", and stressed that the merged company will have significant cost advantages and market competitiveness.

  Currently, Adnoc and OMV already have operations in Canada and Louisiana, USA. This merger will further expand their influence in the US market and facilitate their access to large amounts of natural gas resources.

  The merger is the result of ongoing discussions between Adnoc and OMV since 2023. Borealis is 75% owned by OMV and 25% by Adnoc, while Borouge is a joint venture between Adnoc and Borealis, with Adnoc holding 54% and Borealis holding 36%. In 2024, Adnoc acquired 24.9% of OMV from Mubadala, further strengthening its shareholdings in Borealis and Borouge.

If the merger is successful, the new company will become a global leader in polyolefins, with strong technical expertise, market channels and sustainable solutions, further promoting the integration and development of the global chemical industry.