SABIC plans to invest $3-$10 billion in acquisitions
In line with Saudi Arabia’s recent efforts to ease its dependence on oil and energy, the company is aiming to diversify its production away from oil through possible investment projects in the specialty chemicals sector across the Middle East, China and Europe.
The specialty chemicals reportedly account for $1 billion of SABIC’S annual EBITDA while the company is expected to increase this figure to $2-3 billion in the near future.
The company is currently evaluating two possible deals within the specialties sector, the media reported. A final investment decision is expected to be announced by the second quarter of 2018.
Meanwhile, in May, the company announced a new 1.8 million tons/year cracker project in Texas, USA and launched a pilot PP plant in Geleen, the Netherlands during September.
In addition to enlarging its presence in the USA and Europe, the company signed a memorandum of understanding with Saudi Aramco on developing a crude oil-to-chemicals (COTC) complex in Saudi Arabia earlier this week.
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