(Adds background and comment from Oxea and the Oman Oil Company))
By Nigel Davis
LONDON (ICIS)--The Oman Oil Company (OOC) has acquired oxo-alcohols producer Oxea from Advent International, the Sultanate’s oil company said on Thursday.
The OOC said the acquisition would support integration in Oman’s chemical industry and diversification of the Oman economy.
OCC and Abu Dhabi government-owned International Petroleum Investment Company (IPIC) have formed a joint venture to develop a 230,000 bbl/day refinery and petrochemical complex in Duqm, Oman.
A purchase price for the Oxea acquisition was not disclosed.
Oxea, one of the largest producers of oxo-alcohols and oxo products in the world was created in 2007 from businesses owned by now US-based chemicals producer Celanese and acquired for €408m by Advent International. They included a joint venture with Degussa, now Evonik.
Currently, it has a production capability of 1.3m tonnes and generated sales of €1.5bn ($2.0bn) in 2012.
The Oman Oil company said that it was making this acquisition to support the Sultanate’s “Vision 2020” economic development programme which aims at diversifying the Oman economy.
“With the acquisition of OXEA, OOC aims to become a vertically integrated global chemical leader in the downstream industry,” it said.
“Oxea is an impressive company with a strong track record, highly diversified product portfolio, multistep value chain and strong customer base,” H E Nasser bin Khamis Al Jashmi, OOC chairman. “With its international presence in Europe and North America, leading technology, efficient platform and longstanding experience in the Oxo segment, Oxea will support our further expansion into the chemical sector,” he added.
Oxea is seen as a cornerstone in the integrated chemicals platform Oman is trying to create from its investments in Duqm, Philippe de Fitte, Vice President Downstream Strategic Business Unit of OOC, said.
The link to Oman will aid Oxea’s expansion strategy, especially in growth markets in Asia, while OOC would benefit from Oxea’s reach into European and North America markets, he added.
“Oxea is the number one Oxo merchant and holds a leading position as a manufacturer for Oxo products and derivatives, said managing director Martina Floel.
Advent had successfully shaped the business and diversified the company’s activities with expanded capacity in mature and emerging markets, she added.
($1 = €0.74)