Austria's OMV has announced that is currently negotiating with Abu Dhabi's Mubadala to buy an additional 39 per cent share in Austria's Borealis for a purchase price of US$4.68 billion.
In a statement, OMV said that the potential transaction (which would increase OMV's current shareholding in Borealis from 36 per cent to 75 per cent) would expand the value chain of OMV in the petrochemical sector and would allow OMV to fully consolidate the results of Borealis Group in OMV's financial statements.
If the deal went ahead Mubadala would be selling a 39 per cent stake in Borealis that would see its share come down to 25 per cent.
The deal is subject to approvals by Mubadala, relevant authorities and the supervisory board of OMV still needs to make a final decision on the potential transaction.
Borealis is a 50:50 joint venture with ADNOC through Borouge, the country's largest petrochemicals company.