SAPCO is expected to be established as a limited liability joint venture company between SAAC and Evonik with a 75% and 25% shareholding, respectively.  On this basis, by virtue of Sahara’s aggregate 43.16% equity stake in SAAC, Sahara would own an indirect equity stake of 32.37% in SAPCO.

SAPCO will be established to own, manage and operate the super absorbent polymer plant of the Integrated Acrylates Complex.  It will be supplied with up to 64,000 tonnes per annum of glacial acrylic acid from SAMCO and 24,000 tonnes per annum of dry caustic soda from SABIC or Cristal.  SAPCO will produce 80,000 tonnes per annum of super absorbent polymer for sale to Evonik and SAAC.  Commercial operations are expected to commence in the first quarter of 2014.

Super absorbent polymers are used in the production of baby diapers, adult incontinence, feminine hygiene and agricultural products.