Sovereign wealth fund exits

Change in OMV shares in Emirati oil group

There has been a change of shareholder in the partly state-owned oil and gas group OMV. The long-standing core shareholder from Abu Dhabi, the sovereign wealth fund Mubadala, has sold its stake within the Emirate to the Abu Dhabi National Oil Company (ADNOC), as OMV announced on Thursday evening.

ADNOC now holds 24.9 percent of the shares in OMV, while ÖBAG (Österreichische Beteiligungs AG) continues to hold 31.5 percent. The share transfer took place on February 28.

This means that ADNOC, one of the world's largest oil producers, is now the second-largest shareholder behind ÖBAG. The transaction had already been announced at the end of 2022.

"Through the strategic investment in OMV, ADNOC has increased its stakes in Borealis AG and Borouge plc, further strengthening its presence in the chemicals sector, enabling synergies and opening up significant growth opportunities across the chemicals portfolio, particularly at Borouge," said a press release from the Emirati oil company.

Further negotiations
Regarding the planned divisional merger of OMV and ADNOC, it was stated that the state-owned oil company ADNOC and OMV are continuing to negotiate "open-ended" on the possible establishment of a joint petrochemicals holding company through the planned merger of their respective shareholdings in Borouge and Borealis.

The background
Austria's largest industrial group reported on the plans in the summer of last year. OMV is negotiating with ADNOC about a possible merger of its petrochemical subsidiaries Borealis and Borouge as equal partners. The aim is to create a global polyolefin company with a significant presence in key markets. The deal could create a chemical giant with annual sales of more than 20 billion dollars (18 billion euros).