Methanex Corporation (TSX: MX, Nasdaq: MEOH), the world’s leading producer of methanol, has successfully completed its acquisition of OCI Global’s international methanol business. The $2.05 billion deal was finalized on June 27, 2025, marking a significant milestone in Methanex’s global expansion strategy and strengthening its position in the competitive methanol industry.
The acquisition includes OCI’s key assets in the United States, Trinidad and Tobago, and Egypt, which are integral to the production, distribution, and marketing of methanol. Methanex will now control OCI’s methanol production facilities in Beaumont, Texas, and a joint venture in Egypt. This acquisition is expected to add over 2.2 million tons per year of additional methanol production capacity to Methanex’s existing global footprint.
John Floren, CEO of Methanex, expressed excitement about the transaction, stating, “This acquisition aligns perfectly with our strategic growth objectives, providing us with an enhanced production base and a larger footprint in key markets. By integrating OCI Global’s assets, we can leverage our expertise in methanol production and further diversify our supply chain.”
The deal, which closed after receiving regulatory approvals including from U.S. antitrust authorities, was financed with a combination of cash, debt, and the issuance of 9.9 million shares of Methanex common stock, valued at approximately $450 million. The transaction is expected to generate significant operational synergies, especially in logistics and corporate efficiencies.
Operational Synergies and Market Impact
The addition of OCI Global’s assets will result in cost-saving opportunities across the supply chain. Methanex expects to achieve about $30 million annually in synergies within the first two years, primarily driven by reduced logistics and distribution costs. As the world’s largest methanol producer, Methanex is well-positioned to capture increased demand for methanol, a critical component used in the production of plastics, chemicals, and clean energy technologies.
With methanol’s growing role in energy transition, particularly in the development of methanol-based green fuels, this acquisition will further strengthen Methanex’s leadership in sustainable energy solutions. The company has been making substantial investments in low-carbon technologies and is actively involved in advancing methanol as a clean alternative to traditional fossil fuels.
Looking Ahead: Expansion and Innovation
Methanex’s acquisition of OCI’s assets is not only about expanding its production capacity but also enhancing its commitment to sustainability. The company’s focus on reducing the environmental impact of its operations remains a top priority. By integrating advanced technologies into its production process and expanding its reach into emerging markets, Methanex aims to maintain its industry-leading position.
As the methanol market continues to grow, driven by its use in new green technologies and rising demand in developing economies, Methanex’s strategic acquisition ensures it remains a dominant player on the global stage.