BASF plans to take over Evonik – resistance and political interests at play

BASF, the world's largest chemical company, has made headlines over the past two and a half years primarily with its downsizing. Since taking office in April 2024, CEO Markus Kamieth has focused on two things: saving and separating – both from business and from people. But there is a surprise.

The conversion at BASF is followed by the expansion, at least the draft for it. The Dax group from Ludwigshafen wants to take over its smaller competitor Evonik from Essen for around ten billion euros, but - and this is no surprise - it doesn't want to.

Evonik rejected the first offer. Now the takeover poker begins. With all due respect for the uncertainty that such a move brings with it for employees, customers and shareholders of both companies: I am looking forward to it with excitement, because there are powerful players with a wide range of interests at the table.

They come from NRW state politics (Hendrik Wüst, Armin Laschet), the federal government (Lars Klingbeil, Katherina Reiche) and the IG BCE union (Michael Vassiliadis). All of them are involved with the RAG Foundation, which holds 44 percent of Evonik and uses its earnings to pay the so-called perpetual obligations of the hard coal mining industry. What makes things even more difficult for Evonik is that Claus Rettig is currently controlling the company's fortunes as Vice Chairman, as CEO Christian Kullmann is seriously ill and will be out for months.