BASF proposes takeover of rival chemical producer Evonik

BASF has submitted a takeover proposal to German rival Evonik Industries, according to a report from the Financial Times on September 25, 2026. The Ludwigshafen-based chemical producer approached Evonik management and its main shareholder, the RAG-Stiftung foundation, to present the deal.

Evonik carries a market capitalization of €8.4 billion and an enterprise value of approximately €12 billion including net debt. BASF has a market valuation of roughly €47 billion and has consulted investment banks on the deal structure since earlier this year. A combination would create an industrial group with €74 billion in joint annual revenues to compete against Sinopec and Dow.

For BASF CEO Markus Kamieth, the proposal follows recent portfolio adjustments. These include the €7.7 billion sale of a majority stake in its automotive coatings unit to Carlyle and preparations to list its agricultural solutions division in 2027. Any deal requires approval from RAG-Stiftung, which holds a 44% controlling stake in Evonik.

Both companies face high energy costs and weak European demand, with Evonik cutting over 3,200 jobs in its restructuring. Following the report, Evonik shares rose more than 7% in Frankfurt trading, while BASF shares slipped nearly 2%.