Covestro AG: Regulatory Milestone Clears Path for ADNOC Acquisition

The German polymer manufacturer Covestro AG has reached a pivotal regulatory milestone in its long‑running acquisition negotiations with the Abu‑Dhabi‑based oil giant ADNOC. The latest decision by the German government, announced on 26 November 2025, removes the final obstacle to a €11.7 billion takeover, setting the transaction close to completion.

Key Development

  • Regulatory Approval – The German federal government has granted the required clearance for the acquisition, as reported by Boerse‑Express and confirmed through the official filing under § 40 Abs. 1 WpHG.
  • Deal Structure – ADNOC’s purchase offer values Covestro at €11.7 billion, representing a significant premium over the company’s recent trading levels.

Market Reaction

  • Share Price Movements – Prior to the announcement, Covestro’s stock hovered around €59 per share. Following the news, the share price recorded a modest uptick, closing at €61.8 on 26 November, and reaching a 52‑week high of €61.9 the following day.
  • Trading Volume – The announcement has attracted heightened attention from both institutional and retail investors. Index providers have begun re‑evaluating Covestro’s status within their benchmarks, prompting portfolio adjustments by fund managers.

Corporate Response

  • Management Outlook – Covestro’s executive team expressed relief at the regulatory decision, noting that the company is now “almost at the finish line” for the takeover.
  • Future Plans – With the acquisition near completion, Covestro will likely integrate its operations into ADNOC’s global portfolio, potentially expanding ADNOC’s presence in the high‑performance polymer market.

Industry Implications

The takeover underscores ADNOC’s strategy to diversify beyond hydrocarbons into advanced materials, while giving Covestro access to ADNOC’s extensive distribution network and capital resources. The transaction is expected to create synergies across the chemicals and plastics sectors, potentially influencing market dynamics in automotive, construction, and electronics applications where Covestro’s products are widely used.

All figures and statements are derived from publicly available news reports and regulatory filings dated 26–29 November 2025.