Abu Dhabi National Oil Co. (ADNOC) and Borealis AG plan to sell a 10% stake in their petrochemical joint venture Borouge on the Abu Dhabi Securities Exchange through an initial public offering (IPO).

 

The offering is expected to open on May 23, 2022, subject to regulatory approvals and other relevant considerations.

 

The Borouge IPO represents a unique opportunity for individual subscribers, qualified Investors, ADNOC Group employees, UAE National retirees, employees of Borealis residing in the UAE, employees of Abu Dhabi Polymers Company (ADP) residing in the UAE and employees of Borouge Pte (PTE) residing in the UAE to own shares in one of the world’s leading providers of innovative and differentiated polyolefin solutions.

 

Headquartered in Abu Dhabi, UAE, Borouge is a world-leading provider of innovative and differentiated polyolefin solutions. A joint venture between ADNOC and Borealis, Borouge is a leading petrochemicals company that provides innovative plastics solutions for the energy, infrastructure, mobility, packaging, healthcare and agriculture industries. Following the fourth world–scale expansion, Borouge will become the world's largest single-site polyolefin complex by 2025, with an overall production capacity of 6.4 million tonnes annually. ADNOC holds 60% in Borouge ADP, with Borealis holding 40%. Both companies have a 50% shareholding in Borouge Pte.

 

Commenting on the launch IPO, Dr. Sultan bin Ahmed Al Jaber, Minister of Industry and Advanced Technology and ADNOC Managing Director and Group CEO, said, “Together with our long-standing partner Borealis, I am delighted to announce our intention to float a minority stake in Borouge, our petrochemicals joint venture, on the Abu Dhabi Securities Exchange.

 

“Following the highly successful listings of ADNOC Distribution, ADNOC Drilling and Fertiglobe, ADNOC is bringing to the market a UAE-based, globally competitive market leader. This world-class business provides cutting-edge manufacturing, consumer and infrastructure solutions and offers innovative technologies. This latest offering will be open to all citizens and residents of the UAE and international and local institutional investors.

 

“Through Borouge and our recently announced 25 percent equity investment in Borealis, ADNOC is poised to capitalize on the significant industrial and consumer-led growth in the petrochemicals sector over the coming decades. Today’s proposed listing, our fourth subsidiary to come to market, is another significant milestone in our highly successful value creation and strategic growth journey. ADNOC continues to consistently unlock and maximize value across its integrated upstream and downstream asset base to drive sustainable growth for the benefit of Abu Dhabi and the UAE.”