SABIC Completes Purchase Of DSM

VOL. XLV

No 27

8-July-2002

SAUDI ARABIA

SABIC Completes Purchase Of DSM

Saudi Basic Industries Corporation (SABIC) on 1 July completed its acquisition of DSM Petrochemicals. As a result, the activities of DSM Petrochemicals in Geleen (Netherlands) and Gelsenkirchen (Germany) have been transferred to SABIC retroactively from 1 January 2002. The European Commission last month approved the sale effective that date (MEES, 24 June). During a ceremony in Geleen on 1 July and another in Gelsenkirchen the following day, DSM Board Chairman Peter Elverding handed over these businesses to Muhammad al-Mady, Vice Chairman and Managing Director of SABIC. The transaction involves the transfer of all shares of the companies that together form DSM Petrochemicals (DPC), the associated DPC participations and sales activities, and the related technology positions, patents and trade names. The total consideration of the transaction was €2.25bn.

SABIC on 4 July announced the appointment of the board members of SABIC EuroPetrochemicals BV, the new company responsible for its European petrochemical business. Chairman and CEO is Frans Noteborn (previously Managing Director of DSM Petrochemicals). Also on the board are Boy Litjens (Chief Operating Officer) and Jan Hessel Kruit – both former DSM Petrochemicals executives.