XRG P.J.S.C. initiates process for the transfer of the shares held by the minority shareholders of Covestro AG to XRG P.J.S.C. (squeeze-out under German stock corporation law)
XRG P.J.S.C. today informed Covestro AG that the general meeting of Covestro AG shall resolve the transfer of the shares held by the minority shareholders to XRG P.J.S.C. in return for appropriate cash compensation pursuant to sec. 327a para. 1 sent. 1 of the German Stock Corporation Act (Aktiengesetz, "AktG") (squeeze-out under German stock corporation law).
XRG P.J.S.C., together with its indirect wholly owned subsidiary, ADNOC International Germany Holding AG, holds approx. 95.10% of the share capital of Covestro AG and is thus the majority shareholder in the meaning of sec. 327a para. 1 sent. 1 AktG.
The time at which the squeeze-out under stock corporation law takes effect depends, amongst other things, on the approving resolution of Covestro AG's general meeting and the registration of the transfer resolution with the commercial register. The amount of the appropriate cash compensation that the main shareholder will grant to the minority share-holders of Covestro AG for the transfer of shares has not yet been determined and will be announced at a later date.
About Covestro:
Covestro is one of the world’s leading manufacturers of high-quality polymer materials and their components. With its innovative products, processes and methods, the company helps enhance sustainability and the quality of life in many areas. Covestro supplies customers around the world in key industries such as mobility, building and living, as well as the electrical and electronics sector. In addition, polymers from Covestro are also used in sectors such as sports and leisure, telecommunications and health, as well as in the chemical industry itself.
The company is geared completely to the circular economy. In addition, Covestro aims to achieve climate neutrality for its Scope 1 and Scope 2 emissions by 2035, and the Group’s Scope 3 emissions are also set to be climate neutral by 2050. Covestro generated sales of EUR 14.2 billion in fiscal year 2024. At the end of 2024, the company had 46 production sites worldwide and employed approximately 17,500 people (calculated as full-time equivalents).
Forward-looking statements
This investor news may contain forward-looking statements based on current assumptions and forecasts made by Covestro AG. Various known and unknown risks, uncertainties and other factors could lead to material differences between the actual future results, financial situation, development or performance of the company and the estimates given here. These factors include those discussed in Covestro’s public reports which are available at www.covestro.com. The company assumes no liability whatsoever to update these forward-looking statements or to conform them to future events or developments.