OCI N.V., a leading hydrogen product producer, has announced a strategic alliance with Emirati investors ADQ and Alpha Dhabi Holding as it moves to position its methanol business, OCI Methanol Group, for future growth in line with its decarbonization strategies.
OCI N.V. is a leading nitrogen and hydrogen product manufacturer and distributor. The Dutch company also provides sustainable solutions to agricultural and industrial clients around the world.
Under the leadership of Egyptian billionaire Nassef Sawiris and his father Onsi Sawiris, who passed away on June 28, OCI N.V. has grown from a family-run business into a major international nitrogen product and methanol producer and distributor, with operations on four continents.
The strategic alliance with the Emirati investors will help the group’s methanol business focus more on driving the acceptance of clean methanol as a fuel for the future.
As part of the alliance, OCI Methanol Group will be incorporated as a listed entity on the Abu Dhabi Global Market, and a 15-percent stake in the methanol business will be placed for a total consideration of $375 million.
The strategic move marks a core transformational phase for OCI Methanol Group, which has been a pioneer in developing clean methanol and supplying clean methanol to blue-chip clients in various industries, including transportation.
Methanol is a core enabler of the hydrogen economy and one of the most logical hydrogen fuels.
Nassef Sawiris, executive chairman of OCI N.V. said the strategic partnership will accelerate the group’s position in the hydrogen economy.
“With methanol as the leading clean fuel for the shipping industry and other applications, we believe we are best positioned to execute growth initiatives and capitalize on the growing demand for clean hydrogen in downstream markets,” he said.
ADQ CEO Mohamed Hassan Alsuwaidi said the strategic partnership further solidifies Abu Dhabi’s position in the international arena as a primary player in the industrial and chemicals space.
“We are dedicated to bringing top-tier international companies to the UAE in line with Abu Dhabi’s vision and plans to create a world-class investment platform that will invest in and develop a portfolio of petrochemical manufacturing projects in Abu Dhabi,” he said.
ADQ operates as one of the region’s largest holding companies, with direct and indirect stakes in more than 90 companies locally and globally.
Alpha Dhabi Holding (formerly Trojan Holding) is one of the fastest-growing holdings in the Middle East, with investments and developments in various sectors, including construction and real estate, hospitality, healthcare, infrastructure and transportation.
As of press time, on Nov. 24, shares in OCI N.V. were trading at €25.34 ($28.5) per share, 28-basis points lower than their opening price on the Euronext Exchange on Nov. 23.