Aramco invested USD 3.4 bln for strategic stake in Rongsheng Petrochemical, deal expects to expand both parties' downstream global presence.

Jul 23, 2023 (China Knowledge) - The world's largest integrated energy and chemicals giant Saudi Aramco (2222.SR) had won approval and paid to acquire a strategic stake in Rongsheng Petrochemical (002493), a privately-run petrochemical giant that owns world's largest single-site integrated refining and petrochemical facility.

The 10% stake by Aramco marks a significant step forward in this collaboration, as per the comprehensive strategic cooperation agreement signed between the two entities on March 27th this year. Under the terms of the agreement, Aramco's wholly-owned subsidiary, Aramco Overseas Company, shall acquire this 10% stake in Rongsheng Petrochemical for RMB 24.6 billion (approximately USD 3.4 billion at the current exchange rate). This transaction holds immense significance for both parties.

Mr. Li Shuirong, Chairman of Rongsheng Petrochemical, remarked, "the successful completion of...