Kemira Reviews Options for Oil & Gas Business
Kemira’s board of directors has decided to evaluate strategic options for its oil & gas business, including a potential sale. The Helsinki-headquartered company is reported to have engaged international investment bank Stifel as advisor.
“In our Capital Markets Day 2022, we expressed our interest to grow in water-related applications. In recent years we have invested in the growth of our oil & gas business, and we have seen strong revenue growth in the business since 2021. Now is a good time to evaluate the optimal portfolio composition for Kemira in the long term and the strategic alternatives for the oil & gas business,” said Kemira’s President and CEO Jari Rosendal.
The oil & gas business, which sits within Kemira’s industry and water segment, is focused on shale oil & gas, oil sands tailings treatment and chemical enhanced oil recovery. Revenues in 2022 amounted to €377 million, accounting for roughly 11% of Kemira’s total income and 25% of the industry and water segment’s revenue.
Sources familiar with the matter told business information provider Ion Analytics that a formal auction is expected to kick off in the ongoing second quarter.
Author: Elaine Burridge, Freelance Journalist
