Emirati gas company Adnoc Gas on Monday announced a 25% increase in the number of shares offered in its initial public offering, which is now expected to raise more than $2.4 billion at the exchange rate of yesterday. Faced with “significant demand from investors”, Adnoc Gas, a subsidiary of Abu Dhabi National Oil Company (Adnoc), has decided to put an additional 767 million shares up for sale, bringing its offer to around 5% of its capital, once morest 4% initially planned, she said in a statement.
Adnoc Gas now hopes to raise between 2.4 and 2.51 billion dollars. The company had announced Thursday a price range between 2.25 and 2.43 dirhams (between 0.61 and 0.66 dollars) per share, valuing it at more than 47 billion dollars. “Investors bought all the shares offered in one hour,” a source close to the company told AFP at the time.
The final share price is expected to be announced on March 3, with an listing on the Abu Dhabi Stock Exchange (ADX) scheduled for March 13. This operation will mark “the biggest IPO on the ADX to date”, commented the financial director of the Adnoc group, Khaled al-Zaabi, quoted in the press release.
Created in January 2023 from the merger of Adnoc Gas Processing, Adnoc LNG and Adnoc Industrial Gas, Adnoc Gas has a production capacity of more than 10 billion cubic feet per day.
Its parent company Adnoc is one of the world’s largest crude producers and the UAE’s main source of income. Adnoc Gas’ IPO comes amid renewed activity in the gas market, following Russia’s invasion of Ukraine on February 24, 2022. The dispute has caused Russian gas supplies to plummet , causing prices to soar and pushing Europeans to look for alternatives.
Prices have fallen recently on the short-term markets, thanks to a milder than expected winter. Year-to-date IPOs in Europe, the Middle East and Africa have raised just $1.67 billion so far, according to Bloomberg.
Source: AFP
Emirati gas company Adnoc Gas on Monday announced a 25% increase in the number of shares offered in its initial public offering, which is now expected to raise more than $2.4 billion at the exchange rate of yesterday. Faced with “significant demand from investors”, Adnoc Gas, a subsidiary of Abu Dhabi National Oil Company…
