Latest news with #NationalIndustrialGases
Arab News
09-07-2025
- Business
- Arab News
Saudi chemicals group SABIC studying IPO of its gas unit
DUBAI: Saudi chemicals group SABIC said on Wednesday it was studying strategic options for its National Industrial Gases Company, including an initial public offering, amid a broad review of its business. SABIC said in a statement that the move was in line with its portfolio optimization and core business focus strategy, adding that an IPO of GAS would be aimed at improving the group's 'financial position and the value added for shareholders.' The chemicals industry has been grappling with weak demand and high input costs, leading to lower prices and squeezed margins. SABIC, one of the world's largest petrochemical companies and 70 percent-owned by oil major Saudi Aramco, reported in May a first-quarter net loss of $323 million, citing a rise in operating costs and high feedstock costs. Earlier this year, it also said it planned to cut costs and find new investment opportunities, while restructuring some core assets and offloading non-core businesses. It has already divested its stakes in Aluminium Bahrain, or Alba, and steel business Hadeed, selling both to other state-backed Saudi entities. SABIC said on Wednesday that 'the study remains ongoing, with each option subject to the necessary financial, technical, regulatory and economic assessments.' Its shares have fallen 16.3 percent since the beginning of the year, according to LSEG data.
Zawya
09-07-2025
- Business
- Zawya
Saudi SABIC explores IPO option for gas subsidiary
Saudi Basic Industries Corporation (SABIC), which is currently evaluating strategic options for its industrial gas subsidiary, said that an initial public offering (IPO) and listing on the main market of the Saudi Exchange (Tadawul) is among the options under consideration. SABIC holds a 74% stake in National Industrial Gases Company (GAS), while the Saudi-listed National Gas and Industrialization Company owns a 9% share. SABIC, 70% owned by Saudi Aramco, said that the study remains ongoing, with each option evaluated on financial, technical, regulatory, and economic parameters. The petrochemicals giant said the move was in line with its strategy of portfolio optimization and focusing on core business focus. An IPO of GAS would aim to improve SABIC's financial position and add value for shareholders. GAS is primarily engaged in the production and supply of industrial gases. (Writing by Brinda Darasha; editing by Seban Scaria)
Bloomberg
09-07-2025
- Business
- Bloomberg
Saudi Chemical Maker Sabic Evaluating IPO of Industrial Gas Unit
Saudi chemical maker Sabic is evaluating a share sale for its industrial gases unit as the company focuses on its core business and undergoes a restructuring. Saudi Basic Industries Corp., as the company is officially named, began a study to evaluate 'strategic options' concerning National Industrial Gases Co., according to a statement on Wednesday. The review will consider an initial public offering on Saudi Arabia's main market, Sabic said.
Argaam
09-07-2025
- Business
- Argaam
SABIC, GASCO mull TASI listing for GAS
Saudi Basic Industries Corp. (SABIC) and National Gas and Industrialization Co. (GASCO) started studying and evaluating certain strategic options concerning their investee company, National Industrial Gases Co. (GAS), include the possibility of an initial public offering (IPO) of GAS and listing of its shares in the main market. In two separate statements to Tadawul, both Saudi-listed firms said that the step comes to enhance added value for shareholders, stressing that the strategic options currently being evaluated are subject to the completion of studies related to financial, technical, and legal aspects. For More IPOs In the event of reaching a decision to proceed with the IPO, the process will be subject to obtaining the relevant approvals, including regulatory approvals, and prevailing market conditions, both firms added. Until then, any material developments will be announced by SABIC as required by the relevant law and regulations, the Saudi-listed firms indicated. According to data available on Argaam, GAS' capital stands at SAR 248 million. SABIC owns 74% of the company's shares, while GASCO holds 9%. GAS was established in Saudi Arabia in 1983. Its primary activity is the production of industrial gases, which it supplies to various industries. The company achieved a net profit of SAR 415.8 million in 2024.
Arabian Business
20-05-2025
- Business
- Arabian Business
Saudi chemical giant SABIC exploring IPO for its gas subsidiary
Saudi Basic Industries Corporation (SABIC), one of the world's largest petrochemical manufacturers, is considering listing of its gas subsidiary, National Industrial Gases Company, later this year. SABIC, which is 70 per cent owned by Aramco, has been considering the idea for some time. Reuters reported in August 2021 that the company had selected HSBC and Morgan Stanley to work on the initial public offering (IPO), but it did not materialise that year. SABIC plans subsidiary listing Now, Bloomberg has reported, citing people familiar with the matter, that SABIC is in 'preliminary discussion with potential advisers, such as Lazard Inc., HSBC Holdings, JPMorgan Chase & Co. and Morgan Stanley, on listing National Industrial Gases Company as soon as this year'. SABIC owns 74 per cent of National Industrial Gases, which generated SAR1.6 billion (US$427 million) in revenue in 2024. Sources told Bloomberg that discussions were at 'a preliminary stage, and no final decisions have been made on timing or adviser mandates'. However, the companies mentioned above are yet to comment. Global chemicals producers are under pressure from soft demand, rising costs and shrinking margins, added Bloomberg. SABIC itself has posted two consecutive quarterly losses and is planning a restructuring to reduce expenses. Its shares have fallen nearly 10 per cent since the start of the year, compared with a decline of about 5 per cent for the broader Saudi index. Saudi Arabia has been the most active among the MENA countries this year in IPOs. In a report, Ernst & Young said earlier this month that total proceeds during Q1 2025 reached US$2.4 billion, up by 106 per cent year-on-year, as the number of listings rose to 14, from 10 in Q1 2024. The Kingdom led in both activity and proceeds, recording 12 of the 14 listings in the region. The five offerings on the Saudi Stock Exchange (Tadawul) generated US$1.8 billion and seven listings on the Nomu Parallel Market secured US$69 million.
