Abu Dhabi National Oil Company (Adnoc) has offered EUR 11.7 billion for chemical producer Covestro. The deal would be one of the largest foreign acquisitions by a Gulf company

Covestro is a leading global manufacturer of polymer materials used in a wide range of industries, including automotive, healthcare, coatings, adhesives and plastics. The company operates nearly 50 manufacturing facilities worldwide and employs nearly 18,000 people. Covestro was formed in 2015 as a spin-off from Bayer and is listed on the Frankfurt Stock Exchange.

Adnoc's offer of €62 per share represents a premium of more than 50% to Covestro's share price before the announcement of the negotiations between the two companies 16 months ago. As part of the deal, Adnoc is also to inject new capital of approximately EUR 1.2 billion into Covestro.

In addition to the regulatory screening in Berlin, the agreement is expected to undergo scrutiny in Brussels.