Abu Dhabi National Oil Company (ADNOC) has agreed to acquire the entire stake of OCI in Fertil, the chemical production company, for $3.62 billion. This deal makes ADNOC the majority shareholder in Fertil, increasing its stake to 86.2%.
Under the agreement, ADNOC will purchase OCI's complete stake in Fertil, which amounts to 50% plus one share, at a price of AED 3.20 per share. The total purchase price is AED 13.28 billion ($3.62 billion).
In addition to the paid value, the agreement includes a "Profit Share Mechanism" for OCI for the fiscal years 2024 and 2025, linked to commodity pricing and the free cash flow performance of Fertil during the specified period.
Upon completion of the deal, ADNOC's stake in Fertil will increase to 86.2%, while the free float of shares traded on the Abu Dhabi Securities Exchange will remain at 13.8%.
