Saudi’s SABIC raises stake in Ar-Razi to 75%

Under the previous arrangement, SABIC had the right to buy the 50 per cent share held by JSMC



Saudi Arabia’s SABIC said on Wednesday it had signed an agreement with the Japan Saudi Arabia Methanol Company (JSMC), renewing its partnership in the Saudi Methanol Company (Ar-Razi) for another 20 years.

Under the agreement, SABIC will raise its stake in Ar-Razi to 75 per cent by purchasing half of JSMC’s share, which represents 25 per cent of all Ar-Razi shares, reducing JSMC’s stake in Ar-Razi to 25 per cent, the company said in a statement.

Read: Saudi’s SABIC Q3 net profit up 5.4% on higher selling price

Under the previous arrangement, SABIC had the right to buy the 50 per cent share held by JSMC in Ar-Razi on the agreement’s expiry on November 29.