Abu Dhabi National energy Co (ADNOC), a state-owned energy giant, announced the final price for its IPO on Friday, valuing the business at about $50 billion after experiencing record demand. It will grow to be the biggest listed business in Abu Dhabi.
According to a statement from ADNOC, the share price of ADNOC Gas was set at 2.37 dirhams per share, which is close to the upper end of the price range that was established at 2.25 to 2.43 dirhams per share.
Out of an order book that totaled more than $124 billion, the IPO’s proceeds were about $2.5 billion, according to ADNOC. That outperformed interest in the 2019 IPO of Saudi energy giant Aramco, which raised $25.6 billion and is still the largest in history.
According to Dealogic, the Middle East defied worldwide trends last year by raising $21.9 billion through IPOs. More than half of the overall amount was spent in the area of Europe, the Middle East, and Africa.
Due to the high level of interest in the transaction, which is Abu Dhabi’s biggest IPO, ADNOC announced last week that it would raise the stake offered to investors from 4% to 5%.
On March 13, ADNOC Gas is anticipated to start selling.
The strong interest in the IPO, according to ADNOC Group Chief Executive Officer Khaled Al Zaabi, emphasized the “attractiveness of ADNOC’s world-class and low-carbon intensity energy asset base” and Abu Dhabi as a location for international capital.
Listed companies like ADNOC Drilling and Fertiglobe, as well as the sale of shares in its network of gas and oil pipelines, have helped the company raise billions of dollars. Additionally, the transportation and services division will be floated.
$1 equals 3.6727 UAE dirhams.