NPRA ’07: GE plastics a ‘good buy’ - SABIC

26 March 2007 18:31  [Source: ICIS news]

SAN ANTONIO, Texas (ICIS news)--Acquisition of the General Electric (GE) plastics division would be a good buy for Saudi Basic Industries Corp (SABIC), an official at the company said on Monday.

Abdullah Jasser Al-Madhy, SABIC manager for chemical intermediates, said he could not confirm that his company was in negotiations to buy the GE plastics business, valued at up to $12bn (€9bn), but he said the purchase “sure would be a good buy for SABIC”.

Speaking on the sidelines of the National Petrochemical & Refiners Association (NPRA) annual petrochemicals conference, Al-Madhy said acquisition of GE plastics would be advantageous to SABIC because it would put the company nearer to its customers.

“I think the acquisition also would be good for SABIC because it fits our strategy to be a global company,” Al-Madhy said.

Reports earlier on Monday said SABIC was preparing a bid for GE plastics and that the Saudi-based conglomerate had appointed Citigroup to prepare an offer.

Other bidders include Bain Capital, the Carlyle Group and a team formed by Koch Industries and Blackstone, the Financial Times said.

($1 = €0.75)

By: Joe Kamalick
+1 713 525 2653

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