ADNOC, OMV Form $60 Billion Polyolefins Joint Venture

The Abu Dhabi National Oil Company (ADNOC) and Austria's OMV have announced a merger of their polyolefin operations to create Borouge Group International, a $60 billion joint venture that will acquire North America's Nova Chemicals Corporation for $13.4 billion, including debt. This merger combines two entities, Borealis and Borouge, and positions the new company as the world's fourth-largest polyolefins producer, with a production capacity of 13.6 million metric tonnes annually. Borouge Group International will be jointly owned by ADNOC and OMV, each holding 46.94%, with a 6.12% free float, and will be headquartered in Austria. The joint venture aims to raise $4 billion in capital by 2026 to secure MSCI index inclusion and maintain an investment-grade credit rating. ADNOC's CEO emphasized the transformative nature of this deal, which is expected to enhance Abu Dhabi's status in the global chemicals market. The transaction is set to be completed by early 2026, pending regulatory approvals.