DISCUSSIONS WITH CLARIANT TEMPORARILY DEFERRED ON POSSIBLE MERGER WITH SABIC SPECIALTIES BUSINESS
As part of SABIC’s global strategy to become a top five global leader in specialties, on 11 September 2018, SABIC closed on its transaction to acquire a 24.99% stake in Clariant AG. Along with that stake, SABIC became the largest anchor shareholder in Clariant AG. On 18 September, 2018 SABIC announced the signing of a Memorandum of Understanding with Clariant AG, to open discussions and a due diligence process with the shared intent to combine its future stand-alone Specialties business with the additives and high value masterbatch areas of Clariant AG.
Following the signing of a Memorandum of Understanding between SABIC and Clariant AG to explore the possible merger of SABIC’s Specialties business with Clariant AG, both companies have now reached a common understanding to temporarily defer these discussions due to current unfavourable market conditions. SABIC looks forward to continuing these discussions once conditions have improved as we remain committed to our strategic growth ambitions in the area of specialties.
This decision does not impact the performance of SABIC’s Specialties business or its ongoing customer commitments.