Adnoc L&S: Abu Dhabi-based company aims to raise $607 million in IPO, sets price range of Dh1.99-Dh2.01

Subscription period starts from Tuesday and runs until May 23 for the UAE retail offering

Ashwani Kumar

Published: Tue 16 May 2023, 9:42 AM

Last updated: Tue 16 May 2023, 3:30 PM

Adnoc Logistics and Services expects to raise up to $607 million (Dh2.23 billion) by selling 1.1 billion shares, representing 15 per cent stake in the firm, in an initial public offering and to list its shares on the Abu Dhabi Securities Exchange (ADX).

The price range for the offering has been set between Dh1.99 to Dh2.01 per share, implying an equity value of $4.01 billion to $4.05 billion (Dh14.7 billion to Dh14.9 billion), the Adnoc subsidiary said in a statement.

If all of 1.109 billion shares are sold, the size of the offering will be approximately $601 million to $607 million (Dh2.21 billion to Dh2.23 billion).

The subscription period starts from Tuesday and runs until May 23 for the UAE retail offering. The book building period runs until May 24 for the professional investor offering. The final offer price will be determined through a book building process and is expected to be announced on May 25.

Al Seer Marine Supplies and Equipment, National Marine Dredging Company, Alpha Oryx Limited, and Abu Dhabi Pension Fund have, directly or indirectly, committed to become cornerstone investors in the IPO with a combined commitment of approximately $180 million.

Earlier this March, Adnoc Gas stocks jumped on market debut hitting more than Dh33.8 billion on the first day of trading.

Shares of Adnoc L&S, a global energy maritime logistics leader, are expected to start trading on the ADX on June 1.

The IPO is available to the following subscribers:

Retail offering to individuals and other investors in the UAE; employees of Adnoc group companies residing in the UAE; and UAE national retirees of Adnoc group companies residing in the country. The subscription period for this opens today, May 16, and will continue until Tuesday, May 23.
Professional and other investors in a number of countries, including the UAE. The book building period for the offering starts today, May 16, and will continue until Wednesday, May 24, 2023.

Allotment notifications for the UAE retail offering will be sent on Tuesday, May 30, with refund of surplus investments and dispatch of allotment letters to commence on the same day.

ALSO READ: