Petrochemicals Adnoc and OMV seal deal for $60bn chemicals JV By Pramod Kumar March 4, 2025, 10:26 AM Reuters BGI will acquire Canada-headquartered Nova Chemicals Corporation from Abu Dhabi’s sovereign wealth fund Mubadala for $13.4 billion Abu Dhabi National Oil Company (Adnoc) and Austria’s energy group OMV have agreed to merge their polyolefin operations to form a $60 billion joint venture. Borouge Group International (BGI) will be the world’s fourth largest by nameplate production capacity, the UAE company said. BGI will acquire Canada-headquartered Nova Chemicals Corporation from Abu Dhabi’s sovereign wealth fund Mubadala for $13.4 billion, including debt, to expand its business in North America, the company said. BGI will also combine two joint ventures: Borealis, owned 25 percent by state-owned Adnoc and 75 percent by OMV and and Borouge, owned 54 percent by Adnoc and 36 percent by Borealis. As part of the deal, which was first mooted in 2023, OMV will inject €1.6 billion ($1.7 billion) in cash into the new venture, which is proposed to be listed on the Abu Dhabi Securities Exchange. Adnoc and OMV — partly owned by the Austrian government and Adnoc, which hold 25 percent — will each own 47 percent of BGI. The remaining 6 percent will be free float. Additionally, BGI intends to raise up to $4 billion of primary capital next year to achieve relevant MSCI index inclusion and augment an investment-grade credit rating. Adnoc moves its US investments to XRG Oversubscribed Adnoc Gas listing raises almost $3bn Adnoc to sign LNG deal with India’s BPCL The companies expect the joint venture and Nova deal to be completed in the first quarter of 2026, subject to regulatory approvals. Upon completion, Adnoc’s stake in BGI will be transferred to XRG, its new international investment arm. The new company will be headquartered in Austria, with regional headquarters in Abu Dhabi, Adnoc said.
