Saudi Aramco and Sumitomo Capital have completed a major restructuring of their debt-laden downstream JV Petro Rabigh. In a 9 October announcement, Aramco confirmed that it has now acquired an additional 22.5% stake from Sumitomo for $702mn, lifting its position in the JV to approximately 60%. Sumitomo retains an equity stake of 15%, while 25% is listed on the Tadawul exchange.
The purchase had been agreed on in August 2024. Under the terms of the agreement, Sumitomo will inject the proceeds from the sale into Petro Rabigh, with Aramco providing a matching $702mn. This capital injection involves the issuance by Petro Rabigh of Class B shares, which will be fully subscribed to by Aramco and Sumitomo (MEES, 5 September). (CONTINUED - 397 WORDS)
