Riyadh — Mubasher: Saudi Basic Industries Corporation (SABIC) has completed its divestment from the engineering thermoplastics business across North America, South America, and Europe.
The transaction with Mutares SE & Co. KGaA closed on 3 August 2026 following the fulfillment of all regulatory approvals and mandatory separation activities.
The divested business units recorded an operating loss of approximately SAR 1.90 billion for 2025. For the six-month period ending on 30 June 2026, the operations reported a further loss of SAR 648 million.
SABIC noted that the separation is expected to improve its pro forma EBITDA margin by approximately 130 to 140 basis points.
This divestment is part of the company’s strategic effort to optimize its portfolio by exiting structurally underperforming assets and reducing cash losses.
While the initial financial impact has been reflected in the consolidated financial statements, the final gain or loss remains subject to customary fair value adjustments and purchase price settlements.
The company confirmed there are no material changes to the transaction costs previously disclosed on 8 January.
In the first half (H1) of 2026, SABIC suffered net losses worth SAR 820 million, an annual drop of 84.47% from the SAR 5.28 billion.
