Dentons on Farabi Petrochemicals’ first overseas acquisition 

Global law firm Dentons acted as legal counsel to Saudi Arabia’s Farabi Petrochemicals Company (Farabi) on its landmark first overseas acquisition. In a strategic move to expand its foothold in the Asian market, Farabi acquired a 50% stake in Great Orient Chemical (Taicang) Co., a prominent linear alkyl benzene (LAB) production plant situated in Taicang, China. The acquisition was completed through the purchase of shares in a Singapore-based holding company, previously owned by ISU Chemical Co. of South Korea. 

Specializing in LAB and N-Paraffin production, Farabi’s foray into chemical production in Asia opens up new avenues for growth and sales expansion in the region. The project achieved a significant milestone on 16 June, with the signing of the main acquisition documents, culminating in a successful closing on 31 July. 

Dentons’ cross-border expert legal teams across Saudi Arabia, Singapore, China, and Hong Kong collaborated to offer comprehensive assistance, including due diligence, corporate structuring, addressing anti-trust matters, and drafting and negotiating the transaction documents. 

The Dentons team was led by senior legal consultants Guy Danalis (pictured right) and Edward Rose (pictured left) based in Dentons’ Riyadh office, who were supported by lawyers from Dentons’ Singapore, Hong Kong and Shanghai offices. The Dentons team in Singapore was led by senior partner Evelyn Ang, assisted by partner Glenda Lee and senior associate Natalie Chen on the Singapore corporate aspects. Partner Rizuan Pathie assisted on competition law aspects. The Dentons Hong Kong team was led by Katie Yuen, while the Dentons Shanghai team was led by senior partner Nancy Sun, assisted by partner Sunny Qin and senior associate Lyndon Lin and paralegals Leah Liu and Liam Lu.