抖阴短视频

RIYADH: Energy giant Aramco is set to acquire an additional 22.5 percent stake in Rabigh Refining and Petrochemical Co., known as Petro Rabigh, from Tokyo-based Sumitomo Chemical for $702 million. 

This acquisition, priced at SR7 ($1.86) per share, will make Aramco the majority shareholder in the refining and petrochemical complex on 抖阴短视频鈥檚 west coast, increasing its stake to approximately 60 percent while reducing Sumitomo Chemical鈥檚 stake to 15 percent. 

Previously, both Aramco and Sumitomo Chemical each owned 37.5 percent of Petro Rabigh, which was listed on the Saudi Exchange in 2008. 

The move is part of Aramco鈥檚 strategy to expand its downstream operations and align with Sumitomo Chemical鈥檚 shift from commodity chemicals to specialty chemicals. 

鈥淎ramco continues to identify opportunities to strengthen its downstream value chain, secure placement of its upstream crude oil with affiliated refineries, and convert more of its hydrocarbons into high-value materials,鈥� said Hussain Al-Qahtani, Aramco senior vice president of fuels. 

In a press statement, Aramco also said that this move is expected to improve Petro Rabigh鈥檚 balance sheet and cash liquidity, along with enhancing the profitability of the company. 

鈥淏y increasing our shareholding, we expect to achieve even closer integration with Petro Rabigh and facilitate its turnaround strategy,鈥� Al-Qahtani said. 鈥淲e look forward to building on our existing relationship with Petro Rabigh, in alignment with our strategic goals.鈥� 

The transaction is subject to customary closing conditions including regulatory approvals and other third-party approvals, according to the statement. 

鈥淯nder the terms of the share sale and purchase agreement, all proceeds received by Sumitomo Chemical from the sale will be injected into Petro Rabigh, through a mechanism to be agreed with Petro Rabigh,鈥� the joint statement added. 

Aramco will match Sumitomo鈥檚 $702 million investment, bringing the total financial injection to $1.4 billion to support Petro Rabigh鈥檚 future strategy. 

Both Aramco and Sumitomo Chemical will implement a phased waiver of $750 million each in shareholder loans, reducing Petro Rabigh鈥檚 liabilities by $1.5 billion. 

鈥淲e believe this transaction, which aligns with the strategic directions Aramco and Sumitomo Chemical are respectively pursuing, will significantly enhance Petro Rabigh鈥檚 financial position,鈥� said Seiji Takeuchi, Sumitomo鈥檚 chemical senior managing executive officer.