The Abu Dhabi National Oil Company (ADNOC) said Wednesday it would sell a 15% stake in its logistics and services unit in an initial public offering (IPO), the energy firm’s second share offering this year after its gas subsidiary.
ADNOC said it would offer about 1.11 billion shares, and will announce the price range, as well as start taking investor orders, on May 16. The final pricing will be decided on May 25. ADNOC Logistics and Services (ADNOC L&S) shares are expected to begin trading on June 1, the company said in a statement.
The subscription period for the UAE retail offering is expected to run between May 16 and 23, while the professional investor offering is expected to run from May 16 to 24.
According to Khaled Al Zaabi, ADNOC group CFO, ADNOC L&S is the company’s sixth unit that it is bringing to market and “is ideally placed to drive performance, deliver value, and capitalize on both ADNOC’s ambitious growth roadmap and the growing global demand for lower-carbon, reliable energy supplies.”
The group appointed the Moelis & Company UK LLP DIFC Branch as its independent financial advisor. ADNOC appointed Citigroup Global Markets Limited, First Abu Dhabi Bank PJSC, HSBC Bank Middle East Limited, and JP Morgan Securities Plc as joint global coordinators and joint bookrunners.
Similarly, the Abu Dhabi Commercial Bank PJSC, Arqaam Capital Limited, Crédit Agricole Corporate and Investment Bank, EFG-Hermes UAE Limited, International Securities L.L.C., and Société Générale have been appointed as joint bookrunners while the First Abu Dhabi Bank PJSC has been appointed as the lead receiving bank.
