Dow Considers Exit from $20 Billion Aramco Chemical Venture
By EC Assets · Published
Dow Inc. is exploring a possible exit from Sadara Chemical Co. its $20 billion joint venture with Saudi Aramco. The U.S. company is restructuring its portfolio. This move occurs during a prolonged period of portfolio adjustments for Dow. Sadara Chemical Co. is a $20 billion venture. Dow is said to be considering the sale of its stake in this Saudi chemical venture. Saudi Aramco has experienced varying financial outcomes. It posted a surprise increase in third-quarter profit. A production boost helped mitigate the impact of lower crude prices. This increase snapped a years-long streak of falling earnings at the oil company. Saudi Aramco's initial public offerings have been described as extravagant affairs. Wall Street has given Saudi Aramco thumbs down on previous occasions. Saudi Arabia is also exploring new borrowing of at least $8 billion. War-related disruption has affected trade and oil, contributing to a $9 billion deficit for the country. This highlights mounting fiscal pressure, even as Riyadh funds diversification. Other market events include falling Dow Jones Futures. Oil prices have pushed stocks towards a breaking point. Oil prices are nearing $100. This article is intended for informational purposes only. It does not constitute investment advice.
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