Abu Dhabi’s Borouge $2b IPO receives subscriptions of $83.4b

Abu Dhabi’s Borouge $2b IPO receives subscriptions of $83.4b

Dubai: The Borouge IPO has received subscriptions of a staggering $83.4 billion plus, setting up another successful stock market listing in Abu Dhabi. The subscriptions are 42 times the offer size of $2 billion, as investors - retail and institutional - pile into the mega-offer. The Borouge stock will start trading on ADX from June 3, this being the second big one this year after AD Ports Group. ADNOC will now own a 54 per cent stake in Borouge, which operates a massive industrial complex in Ruwais. The Austrian petrochemicals giant Borealis ME will hold 36 per cent. Entities such as Abu Dhabi’s International Holding Company, Multiply Group, Alpha Dhabi Holding, ADQ, Abu Dhabi Pension Fund and Emirates Investment Authority are among the blue-chip investors, as is Gautam Adani, the Indian billionaire. They as ‘cornerstone investors’ will hold a combined 28.4 per cent. These investors will not offer, sell or announce an offer of any shares they have acquired under the cornerstone investment agreements during a period of not less than six months following admission to list on ADX. The size of the first tranche (reserved for UAE retail and other individual investors) was set at 10 per cent, and