ADNOC makes increased €11.3 billion takeover bid for Covestro

Abu Dhabi National Oil Company (ADNOC) has submitted an increased preliminary takeover bid of about €60 a share for Covestro AG, valuing the German chemical company at around €11.3 billion ($12.4 billion), according to Bloomberg’s report.

The Abu Dhabi oil giant previously made bids of €55 and €57 that Covestro viewed as too low.

According to the source of Bloomberg, the new offer also includes job guarantees for several years as well as about €$8 billion of investments after closing the deal.

A spokesman for Covestro told Reuters that the company is in open-ended talks with ADNOC, following the report of increasing takeover bid. “Open-ended refers to both the content and the timeframe,” the spokesperson said.

In June, ADNOC made a takeover proposal worth more than €10 billion which was rejected by Covestro; in August, ADNOC signaled that it could raise its offer if formal talks were agreed; Covestro confirmed in September that it had entered into open-ended discussions with ADNOC, according to media reports.