Adnoc to Complete $3.6 Billion Fertiglobe Acquisition

Abu Dhabi National Oil Company (Adnoc) is set to finalize the $3.62 billion acquisition of OCI’s 50% + 1 share stake in Fertiglobe on Monday. Fertiglobe is a leading producer of nitrogen fertilizers and clean ammonia solutions.

This acquisition follows Adnoc’s significant $16.3 billion purchase of the German specialty chemicals company Covestro, marking the largest acquisition in Adnoc’s history. Covestro is renowned for its advanced technologies and products that facilitate decarbonization and support the circular economy.

With all necessary approvals obtained, this deal increases Adnoc’s shareholding in Fertiglobe to 86.2%, with the remaining 13.8% available in free float on the ADX. Fertiglobe’s management will host a webcast for investors and analysts on Tuesday to discuss growth strategies.

Recently, Adnoc Logistics and Services announced a $136.5 million cash dividend for the first half of 2024, in alignment with its dividend policy. The company plans to distribute a full-year dividend of Dh1.002 billion, which is a 5% increase from the previous year.

In 2024, Adnoc L&S has commissioned multiple LNG carriers, Very Large Ammonia Carriers, and Very Large Ethane Carriers, and announced the acquisition of Navig8, expanding its global reach and capabilities.

Meanwhile, Adnoc Onshore has partnered with ENPPI to procure locally manufactured steel pipes, boosting the UAE’s industrial sector and creating engineering jobs for UAE nationals. This initiative aligns with Adnoc’s In-Country Value (ICV) program, emphasizing local sourcing and reducing import dependence.

Local firms like Al Gharbia Pipe Company and SeAH Steel UAE will produce these pipes, enhancing domestic supply chains, while companies such as FTV Proclad UAE and others will provide specialized services.

Omar Al Nasri, CEO of Adnoc Onshore, expressed pride in collaborating to drive UAE’s economic and industrial growth. Adnoc’s ICV program aims to reinvest Dh178 billion into the UAE economy by 2028, supporting the ‘Make It in the Emirates’ initiative, which promotes UAE’s socioeconomic development and growth.