“Bloomberg” quoted informed sources as saying that the Abu Dhabi National Oil Company “ADNOC” and “Borealis AG” are seeking to raise regarding two billion dollars from the initial public offering of a joint venture to produce plastics.
The sources, who declined to be identified, indicated that the two companies plan to sell a 10% stake in the Borouge plastic unit by the end of this quarter, and said that the sale would value Borouge at regarding $20 billion, and the deal is expected to be announced next month. .
The sources indicated that discussions are ongoing, and no final decisions have been taken regarding the time frame. A representative of ADNOC declined to comment, while a Borealis spokesman said that the companies are studying options for Borouge, including the IPO, and will update the market when the time is appropriate.
Founded in the late 1990s, Borouge manufactures plastics used in everything from cars and food packaging, to drug vials and piping systems. (Bloomberg)
