OMV's Polyolefins Business Cooperation: Concerns Raised as Greens Question Borealis' Future

PeopleOther ♦ Published: July 16, 2023; 21:53 ♦ (Vindobona)

Austrian energy company OMV has decided to pursue negotiations with ADNOC, the state-owned oil company of the United Arab Emirates, on potential cooperation of their polyolefins business. This reinforces certain concerns of the critical voices on the OMV-ADNOC deal.

OMV and Abu Dhabi are looking into a merger of the two companies Borealis and Borouge. A merger could create a group with a valuation in the double-digit billions. / Picture: © Wikimedia Commons / Priwo [Public Domain]

The polyolefins business comprises the companies Borealis and Borouge, which are leading suppliers of polyolefin solutions. Borealis is 75% owned by OMV and 25% by ADNOC, while Borouge is 54% owned by ADNOC and 36% by Borealis. A potential combination of the two companies under a jointly controlled platform would create a global polyolefins company with a strong presence in key…