BASF Confirms Preliminary Talks on Potential Acquisition of Evonik

Ludwigshafen, Germany – BASF, the German chemical giant, confirmed on September 25 that it is engaged in exploratory negotiations with Germany's RAG Foundation (RAG-Stiftung) and Evonik Industries AG regarding a potential acquisition of Evonik. The company stated that the progress and outcome of these talks remain uncertain.

As part of its corporate strategy, BASF said it continuously evaluates strategic acquisition opportunities that could strengthen its "core business," demonstrate strong strategic alignment, drive profitable growth, and create value. The company emphasized that it approaches such evaluations with prudence and rigor.

Evonik also confirmed having received a non-binding approach from BASF Group concerning a potential voluntary public takeover offer directed at all Evonik shareholders. However, Evonik stressed that no negotiations or consultations are currently taking place between the two parties. Beyond its legal disclosure obligations, the company stated it has no intention of commenting further on the matter or responding to related inquiries.

Company Profiles

• BASF: Founded in 1865, BASF is one of the world's largest chemical groups, with core business segments including chemicals, materials, industrial solutions, and nutrition & care. The company reported sales of approximately €60 billion in 2025.
• Evonik: A leading German specialty chemicals company, Evonik focuses on specialty additives, nutrition & healthcare, and smart materials. It reported sales of approximately €14.1 billion in 2025.

Strategic Context

BASF is currently advancing the next phase of its "Winning Ways" strategy. Having largely completed the divestiture of non-core businesses, the company is shifting its focus to strengthening its core operations. Through its CoreShift cost-reduction program and value-creating M&A, BASF aims to build a more focused and synergistic core business platform.

Evonik, meanwhile, is executing its "Evonik Tailor-Made" efficiency program. This initiative assigns each business unit a role as either a "growth engine" or a "cash cow," with differentiated management accordingly. The program is set to enter its second implementation phase in 2027, running through 2029, and will result in a global reduction of 3,200 positions, approximately 2,150 of which are in Germany.

Industry Headwinds

The European chemical industry is currently facing structural challenges. According to a July 2026 report from the German Chemical Industry Association (VCI), chemical and pharmaceutical production in Germany declined by 3% year-on-year in the first half of the year. Capacity utilization remains persistently low, hovering between 75% and 78%. The association has significantly revised its full-year production forecast downward, from a previously expected flat performance to a decline of 1.5%.