SABIC sells stake in Aluminium Bahrain to focus on chemicals

SABIC announced the signing of an agreement with Saudi Arabian Mining Company (Ma'aden) to sell its 20.62% stake in Aluminium Bahrain (Alba). The sale proceeds are expected to be between BHD363 million and BHD398 million.

The completion of the transaction is subject to all regulatory approvals from the relevant authorities in the Kingdom of Saudi Arabia and the Kingdom of Bahrain and certain customary conditions as set out in the Share Purchase Agreement.

Abdulrahman Al-Fageeh, SABIC Chief Executive Officer, said: "We value our fruitful partnership with Alba over the years, which has contributed significantly to SABIC's growth. Once this transaction is completed, we will be better positioned to strengthen our strategy to become a preferred leader in the global chemicals sector and support the successful delivery of Saudi Vision 2030."

Once the transaction is completed, SABIC will optimize its portfolio, focus on its core businesses, and further strengthen its growth in the chemicals sector. This will help improve returns and reallocate capital to higher margin opportunities.