Borouge is one of the biggest names in value-added plastics solutions. ADNOC and Borealis have not confirmed a likely date for the stake listing. Image Credit: Gulf News Archive

Dubai: Another ADNOC subsidiary could soon be heading for an IPO.

The Abu Dhabi energy giant along with Borealis is mulling the sale of a stake in their joint venture Borouge, headquartered in the emirate. The latter is one of the biggest names in 'value creating' plastics solutions. "Borealis and ADNOC will provide further material updates as and when appropriate," the partners said in a statement.

If they decide to, Borouge will join ADNOC Drilling and Fertiglobe to go in for a stock market listing. ADNOC Distribution, the fuel retailing entity, has been listed on ADX since late 2017.

Headquartered in Vienna, Borealis is one of the world's Top 10 names in advanced polyolefin solutions and a leader in the European market when it comes to base chemicals, fertilzers and in the recycling of plastic.

The first Borouge facility – which had a capacity of 450,000 tons of polyethylene annually - was commissioned in 2001. The second and third units took Borouge’s capacity to 2 million tons and 4.5 million tons of polyethylene and polypropylene annually, in 2010 and 2014.

Now, Borouge 4 will boost the company’s annual polyolefin production to 6.4 million tons, making the manufacturer the world’s largest single-site polyolefin facility.

Borealis' Mubadala connection
Borealis generated 6.8 billion euros in revenue and a net profit of 589 million euros in 2020. OMV, Austria's oil and gas company, owns 75% of Borealis, while the remaining 25% is owned by a holding company of the Abu Dhabi-based Mubadala.