Abuhimed Alsheikh Alhagbani Law Firm in cooperation with Clifford Chance advised Saudi Basic Industries Corporation on the acquisition of an additional 25% stake in, and extension of the term of, its joint venture in Saudi Methanol Company in the Kingdom of Saudi Arabia with the Japan Saudi Arabia Methanol Company Inc.
SABIC purchased an additional 25% in Ar-Razi from JSMC for US$150 million, increasing its aggregate stake to 75% of Saudi Methanol. SABIC also simultaneously extended its partnership with JSMC in the joint venture for 20 years, for which JSMC agreed to pay SABIC US$1.35 billion. A share purchase agreement was signed in December 2018 and the transaction closed in July 2019.
Saudi Methanol Company develops, owns and operates a methanol production complex in the Kingdom of Saudi Arabia.
SABIC is a Saudi diversified manufacturing company, active in petrochemicals, chemicals, industrial polymers, fertilizers, and metals.
The AS&H team was led by Majid Al-Sheikh (AS&H Partner and Head of Corporate) and Omar Rashid (Clifford Chance Partner seconded to AS&H) with Christian Both (Clifford Chance Counsel seconded to AS&H), Rizwan Butt (Clifford Chance Senior Associate, Dubai), Adnan Syed and Ahmad Al-Sadhan (both associates in Riyadh) providing support.
Additional support was provided by Clifford Chance’s global antitrust team and Japanese corporate team, including Tony Reeves (Picture), Tatsuhiko Kamiyama (Partner, Tokyo), Jim Back (Counsel, Brussels), Masafumi Shikakura (Counsel, Tokyo),Tomas Pavelka (Associate, Brussels) and Hisao Ito (Associate, Tokyo).
Involved fees earner: Ahmad Al-Sadhan – Abuhimed AlSheikh AlHagbani (AS&H); Majid Al-Sheikh – Abuhimed AlSheikh AlHagbani (AS&H); Omar Rashid – Abuhimed AlSheikh AlHagbani (AS&H); Jim Back – Clifford Chance; Christian Both – Clifford Chance; Rizwan Butt – Clifford Chance; Hisao Ito – Clifford Chance; Tatsuhiko Kamiyama – Clifford Chance; Tomas Pavelka – Clifford Chance; Tony Reeves – Clifford Chance; Masafumi Shikakura – Clifford Chance; Adnan Syed – Clifford Chance;