OCI NV, ADNOC complete fertilizer merger
M&A WATCH- OCI NV, ADNOC fertilizer merger done and dusted: Abu Dhabi National Oil Company (ADNOC) has completed its merger into Orascom Construction Industries (OCI) NV’s nitrogen fertilizers production MENA platform, the local press reported. OCI agreed in June to merge with ADNOC to set up an Abu Dhabi-based JV with a production capacity of 5 mn tonnes of urea and 1.5 mn tonnes of ammonia. This will make it the largest fertilizer producer in the MENA region. OCI will own 58% of the JV and ADNOC 42%. OCI boss Nassef Sawiris is expected to take up the position of CEO while UAE Minister of State and CEO of ADNOC Sultan Ahmed Al Jaber will be chairman.
Advisors: Matouk Bassiouny & Hennawy and Shearman & Sterling acted as local counsel and Citi as financial advisor to ADNOC. Cleary Gottlieb Steen & Hamilton LLP acted as legal counsel and JPMorgan as financial advisor to OCI NV.