Saudi Aramco aims to have major presence in India, China through SABIC

Saudi Aramco, which has acquired Saudi Basic Industries Corporation (SABIC) for $69 billion, intends to become a major player in petrochemicals, since as per filings, SABIC’s Asia assets are concentrated in China and India.

These filings are as per the Saudi Aramco prospectus released on Sunday. The prospectus notes that as per the notes to financial statements of SABIC, significant value of property, plant and equipment in Asia is concentrated in China and India. As per the geographical distribution of assets, 1 per cent of the assets, property, plant and equipment are in Asia while 85 per cent are concentrated in Saudi Arabia.

SABIC has three subsidiaries in India – SABIC India, SABIC Innovative Plastics India and SABIC R&T. While 17 per cent of its revenue comes from China, 22 per cent comes from the rest of Asia.