SABIC’s Bold Portfolio Move Sparks a Stronger Future

A Strategic Step Toward Growth

The Saudi Basic Industries Corporation (SABIC) completed yesterday, August 3, 2026, the divestment of its Engineering Thermoplastics (ETP) business in the Americas and Europe to Mutares SE & Co for an enterprise value of $450 million.

Meanwhile, Dr. Faisal M. Alfaqeer, SABIC’s CEO and Executive Board Member, said the transaction strengthens portfolio optimization, supports sustainable profitability, and maximizes shareholder returns through sharper strategic focus.

Building Long-Term Value

Furthermore, the completion of the divestment improves profitability by exiting underperforming assets, reducing losses, enhancing ROCE, and boosting EBITDA margins by approximately 130–140 basis points.

Additionally, SABIC continues serving global customers through innovation while successfully completing the transaction announced on January 8, 2026, after meeting all regulatory approvals and customary closing conditions.

Petro Titans Collide: SABIC and Rongsheng Spark a Chemical Revolution in China!

The Game-Changing Partnership

The Saudi Basic Industries Corporation (SABIC) today announced the signing of a Project Development Agreement (PDA) with Rongsheng Petrochemical Co. Ltd. (Rongsheng Petrochemical) and its wholly owned subsidiary Rongsheng New Materials (Zhoushan) Co. Ltd. to jointly advance the development of the Jintang New Materials Project in Zhoushan, Zhejiang Province, China. Under the PDA, SABIC and Rongsheng Petrochemical are evaluating a potential equity investment by SABIC up to 50% of Rongsheng New Materials.  

Why This Rocks for the Future

This partnership reflects SABIC’s vision for growth through strategic collaboration. Moreover, Dr. Faisal M. Alfaqeer stated this alliance combines strengths for innovation and sustainable value. Transitioning forward, Rongsheng’s CEO called it a landmark win-win that stabilizes the sector. The Jintang New Materials Project enhances production for advanced chemical materials and supports demand in key industries.