SearchA new chapter in sabic agri-nutrients business
25/12/2019
SABIC has entered into a share-purchase agreement with its manufacturing affiliate, the Saudi Arabian Fertilizer Company (SAFCO), under which the latter will acquire the newly formed SABIC Agri-Nutrients Investment Company (SANIC) in exchange for shares, thus increasing SABIC’s share holding in SAFCO to 50.1%.
SABIC formed SANIC in 2018 to consolidate all its equity shares and assets currently held in several companies producing agri-nutrient products.
Yousef Al-Benyan, Vice Chairman and CEO, commented, ‘’The agreement, which is binding and subject to regulatory approvals, comes as a result of a shared vision to improve efficiencies through realization of synergies and maintaining a competitive edge in global markets. It is an important step in the journey toward meeting 2025 strategic targets, and is expected to accelerate Agri-Nutrients growth strategy, while increasing efficiency and maintaining customer intimacy.’’
Samir Al-Abdrabbuh, Executive Vice President, Agri-Nutrients, said, ‘’Subject agreement aims to boost shareholder value by enhancing capabilities, making breakthrough technological advances, and exploring growth opportunities through SABIC’s wide reach across global markets.’’
SANIC owns 50% shares of both the National Chemical Fertilizers Company (Ibn Al-Baytar) and Jubail Fertilizer Company (Al-Bayroni), and 33.33% shares of Gulf Petrochemical Industries Company (GPIC).
SABIC formed SANIC in 2018 to consolidate all its equity shares and assets currently held in several companies producing agri-nutrient products.
Yousef Al-Benyan, Vice Chairman and CEO, commented, ‘’The agreement, which is binding and subject to regulatory approvals, comes as a result of a shared vision to improve efficiencies through realization of synergies and maintaining a competitive edge in global markets. It is an important step in the journey toward meeting 2025 strategic targets, and is expected to accelerate Agri-Nutrients growth strategy, while increasing efficiency and maintaining customer intimacy.’’
Samir Al-Abdrabbuh, Executive Vice President, Agri-Nutrients, said, ‘’Subject agreement aims to boost shareholder value by enhancing capabilities, making breakthrough technological advances, and exploring growth opportunities through SABIC’s wide reach across global markets.’’
SANIC owns 50% shares of both the National Chemical Fertilizers Company (Ibn Al-Baytar) and Jubail Fertilizer Company (Al-Bayroni), and 33.33% shares of Gulf Petrochemical Industries Company (GPIC).