Boston-headquartered private equity firm Advent International has entered into discussions with the Government of Oman over a potential injection of fresh capital into state-owned OQ Chemicals in exchange for a majority stake in the company, according to a report by Bloomberg.
The report cites unnamed people familiar with the matter in revealing that Advent is considering investing up to $250m in a deal that would see it take control of the business, with current owner and state energy company OQ SAOC (OQ) retaining a minority holding.
OQ recently revealed that it would not be providing any further funds to OQ Chemicals, complicating the company’s attempts to refinance outstanding $507m and $435m term loans which are due this October.
According to Bloomberg’s sources, Advent is still discussing details of the deal including the amount and stake size, and there is no certainty at this stage that it will proceed, while OQ Chemicals has also been considering other options proposed by its creditors.
Advent-owned OQ Chemicals was formerly known as Oxea until 2013, when it sold the company to OQ for about €1.8bn.
