Evonik Trims Its Portfolio and Payroll as BASF Circles

Evonik plans to shed Oxeno and Syneqt, cutting 3,200 jobs under "Evonik Tailor Made," as BASF weighs a possible takeover.

Evonik is pressing ahead with a twin-track overhaul that will see the specialty chemicals group shed peripheral businesses and cut deep into its administrative ranks, even as takeover interest from larger rival BASF keeps the stock in play.

The Essen-based company's shares closed Friday at EUR 20.66, a mere 0.4% below their 52-week high of EUR 20.74 — a level that reflects just how much of the market's attention is fixed on the group's restructuring story rather than its near-term earnings.

Two Divestments, 4,300 Employees

At the heart of the portfolio shake-up is the planned sale of subsidiaries Oxeno and Syneqt, which together employ roughly 4,300 people, according to Reuters. The formal divestment process for Syneqt is not expected to kick off until 2027, management has indicated.

Offloading these units serves a dual purpose: it frees up operating resources, helps bring down leverage, and reduces Evonik's exposure to the cyclical swings that have long weighed on the broader group. The proceeds and the simplified structure are meant to sharpen the company's focus on higher-margin specialty chemicals.

3,200 Jobs to Go Under "Evonik Tailor Made"

Running alongside the portfolio pruning is a sweeping efficiency drive. Under the banner "Evonik Tailor Made," Evonik intends to eliminate 3,200 positions worldwide, with about 2,150 of those cuts falling on its German sites. The program's second phase is slated to begin in 2027 and run through 2029, targeting a lasting reduction in administrative costs and a leaner set of processes.

The company frames the move as a response to sustained pressure across the chemical industry. By concentrating specific tasks at defined domestic locations, management hopes to lift production efficiency and bolster the group's resilience. Close dialogue with employee representatives remains central to putting the plan into practice.

A Rejected Approach and an Open-Ended Courtship

The restructuring is unfolding against a backdrop of persistent capital-markets speculation. Evonik disclosed that it received an unsolicited approach regarding a voluntary public takeover offer for all its shares, though no concrete negotiations ensued. Reuters, citing people familiar with the matter, reported that the company turned down an indicative offer of about EUR 22.15 per share as too low. Handelsblatt put the proposed total at roughly EUR 10 billion. Evonik declined to comment officially.

BASF, for its part, has confirmed exploratory talks with both Evonik and the RAG-Stiftung about a potential transaction, while characterizing the outcome as open. For investors, the group's self-help agenda is thus intertwined with lingering consolidation hopes across the German chemicals sector.

Analyst Upgrade, Quarterly Test Ahead

Market observers have responded positively to the developments. On September 28, DZ Bank raised its fair value for the stock to EUR 22 and assigned a "Buy" rating.

Attention now turns to the next scheduled corporate event: on November 3, 2026, Evonik Industries AG will publish its results for the third quarter of 2026. The market will use the report to gauge how far cost reductions have progressed and whether revenues are holding steady in the current industry climate. The reassignment of tasks across the group's industrial sites is a complex undertaking that will demand discipline in the months ahead — and for shareholders, the key question is whether the first effects of the restructuring are already visible in the operating business.