Aramco to buy stake in JV Petro Rabigh from Sumitomo Chem By Reuters
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Aug 07 2024
0mins
Source: Investing.com
Saudi Aramco's Investment: Saudi Aramco will acquire a 22.5% stake in the Petro Rabigh joint venture from Sumitomo Chemical for $702 million, as part of a strategy to address significant losses totaling over $2.36 billion.
Financial Adjustments and Future Plans: Both companies will provide equal funding and waive loans worth $1.5 billion; this deal reduces Sumitomo's stake to 15% while increasing Aramco's to 60%, aligning with their respective strategic shifts in the petrochemical market.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
