Iran signs its biggest-ever car deal with France’s Renault

(L to R) Thierry Bollore, deputy director of Competitiveness at Renault, Mansour Moazami, Chairman of the Board of Directors of IDRO Group, and Kourosh Morshed Solouk, deputy director of the Iranian Automobile Importers Association, attend a signing of a deal ceremony in Tehran on August 7, 2017, in the presence of Iranian Minister of Industry Mohammad Reza Nematzadeh (1nd-L, background). French auto giant Renault finalised a deal with Iranian partners to produce 150,000 cars a year. / AFP / ATTA KENARE
Updated 07 August 2017
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Iran signs its biggest-ever car deal with France’s Renault

TEHRAN: Iran’s official news agency says two Iranian companies have signed the country’s biggest-ever car deal with French multinational automobile manufacturer Groupe Renault to produce 150,000 cars, beginning in 2018.
IRNA says the deal was signed on Monday in Tehran.
The €660 million — or $778 million — deal follows the lifting of international sanctions after Iran’s 2015 nuclear agreement with world powers.
It’s expected to create about 3,000 jobs for the two companies, Iran’s IDRO and the privately owned Negin Group. Renault has a 60 percent partnership in the deal.
Last year, French carmaker PSA Peugeot Citroen reached a deal with Iran Khodro to open a plant producing 200,000 vehicles annually.
Iran produces about 1,350,000 vehicles a year, though authorities hope that number will reach 3 million annually by 2025.


Saudi Aramco aims to buy controlling stake in SABIC: Sources

Updated 5 min 21 sec ago
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Saudi Aramco aims to buy controlling stake in SABIC: Sources

  • Riyadh-listed SABIC, the world’s fourth-biggest petrochemicals firm, has a market capitalization of 385.2 billion Saudi riyals
  • The potential acquisition would affect the time frame of Aramco’s planned initial public offering set for later this year

DUBAI: Saudi Aramco aims to buy a controlling stake in petrochemical maker SABIC, possibly taking the entire 70 percent stake owned by Saudi Arabia’s sovereign wealth fund, two sources familiar with the matter told Reuters.
Late last week Aramco confirmed a Reuters report that it was working on a possible purchase of a “strategic stake” in Saudi Basic Industries Corp. (SABIC) from the Public Investment Fund, the kingdom’s top sovereign wealth fund.
Aramco’s initial thinking is to buy the full stake owned by the Public Investment Fund (PIF), but if that fails to materialize Aramco could end up with a stake in SABIC of more than 50 percent, making it a majority owner, the sources said.
No final decision has been made on the size of the stake as the discussions are still at a very early stage, they added.
Aramco declined to comment. The PIF did not respond to a Reuters request for comment.
Riyadh-listed SABIC, the world’s fourth-biggest petrochemicals firm, has a market capitalization of 385.2 billion Saudi riyals ($103 billion).
The potential acquisition would affect the time frame of Aramco’s planned initial public offering set for later this year, the state oil giant’s chief executive, Amin Nasser, said in a TV interview on Friday.
Aramco plans to boost investments in refining and petrochemicals to secure new markets and sees growth in chemicals as central to its downstream strategy to cut the risk of an oil demand slowdown.
Aramco plans to raise its refining capacity to between 8 million and 10 million barrels per day, from around 5 million bpd now, and double its petrochemicals production by 2030.
Aramco, the world’s largest oil producer, pumps around 10 million bpd of crude oil.