OCI Global and Orascom Construction PLC have announced plans to merge, creating a scalable infrastructure and investment platform anchored in Abu Dhabi with a global reach. The proposed merger (referred to as “the Combination”) would bring together Orascom Construction’s world-class execution capabilities—bolstered by a $14bn backlog—and OCI’s institutional investment expertise, capital discipline, and transactional track record.
By combining their financial strength and resources, the new platform aims to pursue large-scale infrastructure opportunities, encompassing equity, credit, operations, and maintenance. This merger positions the platform for significant growth and expansion in global markets.
The new entity would leverage Orascom Construction’s proven capabilities in sectors like digital, aviation, transportation, power, and water, alongside landmark projects such as US data centers. Both companies have a history of delivering high-value infrastructure and industrial projects across five continents, with an established track record in complex, large-scale endeavors.
Historically, the merger of Orascom Construction and OCI has driven substantial value creation, first in cement and later in natural gas-based industries, generating approximately $22bn in dividends and an internal rate of return (IRR) of 39%. The strategic merger aims to replicate this success by combining capital, investment expertise, and operational experience, building a diversified platform focused on long-term recurring value.
Under the proposed structure, Orascom Construction would become the acquiring entity, incorporated in the Abu Dhabi Global Market (ADGM) and listed on the Abu Dhabi Securities Exchange (ADX). OCI shareholders would receive new shares in Orascom Construction, with the precise ratio to be determined after due diligence and valuation. As part of the merger, OCI would be liquidated and delisted from Euronext Amsterdam. The transaction is subject to approval by the boards, shareholders, and relevant regulatory authorities.
