Covestro CONFIRMS to discuss with ADNOC on takeover proposal
Covestro AG has announced that its Board of Management had decided, in view of the interest in Covestro expressed by Abu Dhabi National Oil Company (ADNOC), to enter into open-ended discussions with ADNOC.
In June, media reported that ADNOC had approached Covestro with a takeover proposal worth more than 10 billion euros, but Covestro had rejected the initial proposal as the offer was too low.
“Whether, in which form and, if applicable, at which conditions an agreement between the parties will be reached is open and will depend on the course of the forthcoming discussions,” stated the German plastics and chemicals maker in the announcement.
Covestro has confirmed to enter into open-ended discussions with ADNOC on proposed takeover.
Sustainability remains core strategy
It was also emphasized that during the discussions, Covestro’s Board of Management will in particular also address the safeguarding of the further implementation of the company’s future- and sustainability-oriented corporate strategy, including corresponding corporate governance provisions.
Dr. Markus Steilemann, Chief Executive Officer of Covestro, said: “The interest of ADNOC in our company underlines our strong position as one of the world’s leading manufacturers of high-quality polymer materials and as a leader in the shift towards a circular economy. Beyond current headwinds in our industry, we are optimally positioned to unlock significant long-term value in highly attractive industries underpinned by strong secular growth trends.”
The CEO added: “Regardless of the talks with ADNOC, we will remain fully focused on pursuing our successful ‘Sustainable Future’ strategy in order to unfold our full potential and further drive the transformation towards the circular economy.”
Covestro presently does not intend to comment on this matter any further unless and until changed circumstances or events require publication by Covestro to comply with applicable disclosure rules.
