Saudi Aramco to dilute stake in Sadara Chemicals via IPO
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Saudi Aramco to dilute stake in Sadara Chemicals via IPO

Saudi Aramco to dilute stake in Sadara Chemicals via IPO

Aramco has a stake of 65 per cent in Sadara

Gulf Business

National oil firm Saudi Aramco plans to cut its stake in Sadara Chemical Co, a joint venture with U.S. company Dow Chemical, via an initial public offer of shares, Sadara chief executive Ziad al-Labban said on Wednesday.

“Aramco has a stake of 65 per cent in Sadara – they want to become equal with Dow, which has a 35 per cent stake. The 30 per cent I believe will be IPOed by Saudi Aramco,” Labban told reporters on the sidelines of a petrochemical industry conference.

He did not give a timeline or other details. Executives first raised the possibility of an IPO for Sadara years ago; a source familiar with the matter told Reuters this year that it would occur after the planned IPO of Aramco itself, which is due to take place in 2018.


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