Saudi Aramoc buys Petro Rabigh shares fromJapan’s Sumitomo Chemical
Saudi Aramco completed the acquisition of 375.97 million Class A ordinary shares in Rabigh Refining and Petrochemical Co. (Petro Rabigh) — representing about 22.5% of its capital — from Japan’s Sumitomo Chemical.
In a statementon Tadawul, Aramco said it financed the transaction from its owncash, completing the deal after satisfying all conditions precedent and securing the necessary regulatory approvals.
Following the acquisition, Aramco’s ownership in Petro Rabigh’s Class A shares increasedto around 60%, while Sumitomo Chemical’s stake now stands at 15%.
Aramco confirmed that the ownership of the remaining 25% of Petro Rabigh’s Class A shares held by other shareholders remains unchanged.
Aramco said it paid SAR 2.63 billion in cash—orSAR 7 per share—to acquire the 22.5% stake from Japan’s Sumitomo Chemical.
The deal is part of a broader set of measures jointly undertaken by Aramco and Sumitomo to strengthen Petro Rabigh’s financial position and support its strategic transformation.
Under the deal, Aramco and Sumitomo waive the existing revolving shareholder loans totaling $1.5 billion (SAR 5.63 billion) in August 2024 and January 2025.
Aramco and Sumitomoalsoplanajoint capital injection of SAR 5.26 billion—split equally between between both parties —through the subscription of new Class B ordinary shares as part of Petro Rabigh’s announced capital increase on Aug.31, 2025.
Aramco, Sumitomo, and Petro Rabigh have also terminated a side agreement dated April 10, 2006, under which Aramco and Sumitomo reimbursed Petro Rabigh for Zakat and tax payments on their behalf. Effective upon completion of the transaction, both parties will cease providing such reimbursements, in line with Petro Rabigh’s shareholder circular published on Sept.8, 2025.
As part of the transaction, Sumitomo and its affiliates will transfer their rights to market Petro Rabigh’s products to Aramco and its subsidiaries, further consolidating Petro Rabigh’s marketing rights under Aramco, as outlined in Petro Rabigh’s shareholder circular dated September 8, 2025, and its announcement on October 8, 2025.
Strategic Objectives
The deal aims to strengthen Aramco’s refining, chemicals, and marketing value chain and secure crude processing at affiliated refineries while increasing conversion of hydrocarbons into high-value products.
It will also enhance Petro Rabigh’s financial position and support execution of its long-term strategy.
Deal Impacton Petro Rabigh’sGovernance:
Petro Rabigh will remain a Saudi joint stock company listed on Tadawul.
The company will continue to operate under its regulatory framework and maintain high governance standards.
The board will continue representing all shareholders and acting in their best interest.
In line with transaction requirements, Petro Rabigh amended its Articles of Association during an extraordinary general meeting announced on September 30, 2025.
The company plans to issue new Class B ordinary shares, a distinct share class, as announced on Sept.8, 2025. Proceeds of SAR 5.26 billion will be used to partially repay certain facilities and reduce debt levels.
On its strategy
the transaction aligns with Aramco’s broader expansion in refining, chemicals, and marketing, and supports Petro Rabigh’s future growth plans.
On employees, no changes are expected to Petro Rabigh’s employee policies.
Saudi Aramoc buys Petro Rabigh shares fromJapan’s Sumitomo Chemical
Saudi Aramco completed the acquisition of 375.97 million Class A ordinary shares in Rabigh Refining and Petrochemical Co. (Petro Rabigh) — representing about 22.5% of its capital — from Japan’s Sumitomo Chemical.
In a statementon Tadawul, Aramco said it financed the transaction from its owncash, completing the deal after satisfying all conditions precedent and securing the necessary regulatory approvals.
Following the acquisition, Aramco’s ownership in Petro Rabigh’s Class A shares increasedto around 60%, while Sumitomo Chemical’s stake now stands at 15%.
Aramco confirmed that the ownership of the remaining 25% of Petro Rabigh’s Class A shares held by other shareholders remains unchanged.
Aramco said it paid SAR 2.63 billion in cash—orSAR 7 per share—to acquire the 22.5% stake from Japan’s Sumitomo Chemical.
The deal is part of a broader set of measures jointly undertaken by Aramco and Sumitomo to strengthen Petro Rabigh’s financial position and support its strategic transformation.
Under the deal, Aramco and Sumitomo waive the existing revolving shareholder loans totaling $1.5 billion (SAR 5.63 billion) in August 2024 and January 2025.
Aramco and Sumitomoalsoplanajoint capital injection of SAR 5.26 billion—split equally between between both parties —through the subscription of new Class B ordinary shares as part of Petro Rabigh’s announced capital increase on Aug.31, 2025.
Aramco, Sumitomo, and Petro Rabigh have also terminated a side agreement dated April 10, 2006, under which Aramco and Sumitomo reimbursed Petro Rabigh for Zakat and tax payments on their behalf. Effective upon completion of the transaction, both parties will cease providing such reimbursements, in line with Petro Rabigh’s shareholder circular published on Sept.8, 2025.
As part of the transaction, Sumitomo and its affiliates will transfer their rights to market Petro Rabigh’s products to Aramco and its subsidiaries, further consolidating Petro Rabigh’s marketing rights under Aramco, as outlined in Petro Rabigh’s shareholder circular dated September 8, 2025, and its announcement on October 8, 2025.
Strategic Objectives
The deal aims to strengthen Aramco’s refining, chemicals, and marketing value chain and secure crude processing at affiliated refineries while increasing conversion of hydrocarbons into high-value products.
It will also enhance Petro Rabigh’s financial position and support execution of its long-term strategy.
Deal Impacton Petro Rabigh’sGovernance:
Petro Rabigh will remain a Saudi joint stock company listed on Tadawul.
The company will continue to operate under its regulatory framework and maintain high governance standards.
The board will continue representing all shareholders and acting in their best interest.
In line with transaction requirements, Petro Rabigh amended its Articles of Association during an extraordinary general meeting announced on September 30, 2025.
The company plans to issue new Class B ordinary shares, a distinct share class, as announced on Sept.8, 2025. Proceeds of SAR 5.26 billion will be used to partially repay certain facilities and reduce debt levels.
On its strategy
the transaction aligns with Aramco’s broader expansion in refining, chemicals, and marketing, and supports Petro Rabigh’s future growth plans.
On employees, no changes are expected to Petro Rabigh’s employee policies.
