OQ Chemicals for sale?

According to a Bloomberg report, the Omani state-owned OQ is preparing a preparing a sales process for its subsidiary, the German oxo alcohols producer OQ Chemicals. Neither the company nor the putative lead adviser, Rothschild & Co., has commented.

OQ Chemicals has, however, confirmed a report that some of its main lenders had agreed to provide €75 million in bridge financing. A group of lenders have also agreed to extend the maturities of €1.1 billion equivalent of debt, some of which was due to be paid in October.

OQ had said earlier this year that it would not provide any further funding. It also rejected a takeover proposal from private equity firm Advent International. In May 2023, OQ Chemicals announced a two-year programme of cost-cutting and organisational realignment because of persistently weak demand, oversupply and high energy costs in Europe. This includes outsourcing technical and logistical service areas and cutting up to 10% of non-production jobs.