The National Petrochemical Company (Petrochem) Announces Recent Developments Relating to the Contemplated Merger with the Saudi Industrial Investment Group.
| Element List | Explanation |
|---|---|
| Introduction | Further to the announcement made by the National Petrochemical Company (“Petrochem”) on 03/02/1442H (corresponding to 20/09/2020G) in respect of the approval of the Petrochem’s Board of Directors to commence the discussions with the Saudi Industrial Investment Group (the “SIIG”) on the economic feasibility of merging the businesses of the two companies (the “Proposed Transaction”). Petrochem would like to announce a recent development in this regard, which is the completion of the initial economic feasibility study, on the basis of which Petrochem and SIIG decided to commence reciprocal due diligence, negotiate the terms and conditions of the Proposed Transaction and the sharing of information between the two companies in this regard. Petrochem has appointed GIB Capital as its financial advisor and Abuhimed Alsheikh Alhagbani Law Firm as its legal advisor in connection with the Proposed Transaction.
Both parties aim to satisfy the requirements applicable to the Proposed Transaction before the end of the current Gregorian year and to present the Proposed Transaction to their respective shareholders in accordance with applicable laws and regulations. The completion of the Proposed Transaction is subject to a number of conditions which include obtaining approvals from the competent authorities.
It should be noted that neither Petrochem nor SIIG is under an obligation to proceed with the Proposed Transaction. Therefore, the commencement of due diligence does not necessarily mean that the parties will reach a final and binding agreement in relation to the Proposed Transaction or that the Proposed Transaction will be completed. |
| Previous Announcement | Petrochem’s announcement in respect of the approval of Petrochem’s Board of Directors to commence discussions with the Saudi Industrial Investment Group in relation to a proposed transaction to merge the businesses of the two companies. |
| Date of Previous Announcement on Tadawul's Website | 2020-09-20 Corresponding to 1442-02-03 |
| Percentage of fulfilled achievement | Not applicable |
| Event's Expected Completion Date | It is not possible to determine the event’s expected completion date as it is subject to discussions between Petrochem and SIIG and the due diligence results in relation to the Proposed Transaction. Material developments will be announced in due course. |
| The costs associated with the event, and if they have changed or not with indication of the reasons. | It is not possible to determine the costs associated with the event as they are subject to discussions between Petrochem and SIIG and the due diligence results in relation to the Proposed Transaction. Material developments will be announced in due course. |
Comments