Clariant chairman to go in compromise deal with SABIC | Reuters

Clariant chairman to go in compromise deal with SABIC | Reuters

Clariant Chairman Hariolf Kottmann, who hailed the arrival of Saudi Arabia’s SABIC as the chemical maker’s top shareholder three years ago, became a casualty on Monday of a deal to try to patch up relations between the two sides.

The Swiss company said Kottmann would not stand for re-election in April.

The 65-year-old has led Clariant for more than a decade, but Saudi Basic Industries Corporation (SABIC) has become increasingly disenchanted with him, particularly after a planned joint venture collapsed in 2019.

In a post-Christmas coup attempt, SABIC, which has a 31.5% stake in Clariant, sought Kottmann’s ouster by proposing a time-limit for board members. It also demanding a 2 Swiss francs per-share special dividend analysts feared would drain the company’s coffers of 670 million francs ($749 million).