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Saudi Arabia: Petrochemical firms to resume merger talks

By  |  March 13, 2018

Sahara Petrochemical and Saudi International Petrochemical plan to resume talks about a potential merger, four years after a tie-up was put on hold, reported Bloomberg.

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    Discussions will begin after “recent changes in the regulatory framework,” both companies said Tuesday, March 13, in separate statements to the Saudi stock exchange.

    The initial merger, which proposed a share swap, was put on hold because both companies said it would be difficult to proceed using a structure acceptable to both sides under the regulatory framework at the time.

    The companies have a combined market value of 14.7 billion riyals (US$3.9 billion). Al-Zamil Holding Group is the biggest shareholder of both companies, with 9.7% of Sipchem and 7.9% of Sahara, according to data compiled by Bloomberg.

    Full Content: Bloomberg

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