Abu Dhabi’s ADNOC looks to raise up to $607m from IPO of logistics unit

Abu Dhabi’s ADNOC looks to raise up to $607m from IPO of logistics unit

DUBAI: State oil giant Abu Dhabi National Oil Co. said on Tuesday it has set a price range for an initial public offering of its marine and logistics unit that could raise up to $607 million and could give ADNOC Logistics & Services an equity valuation of as much as $4.05 billion.

The price range for the unit was set at 1.99 dirhams ($0.5420) to 2.01 dirhams per share, the company said in a statement.

Cornerstone investors Al Seer Marine Supplies & Equipment, National Marine Dredging Co., Alpha Oryx Limited and the Abu Dhabi Pension Fund have made a combined commitment of approximately $180 million.

ADNOC would raise between $601 million and $607 million from the sale, the statement said.

ADNOC is offering about 1.1 billion shares in its maritime logistics services unit, equivalent to 15 percent of its issued share capital. The subscription period for the share offering is to run from May 16 until May 24.

Reuters had reported in March that ADNOC was gearing up to list ADNOC L&S in June.

This will be the Abu Dhabi oil giant’s second IPO this year after it raised $2.5 billion from its gas business in March.

Citigroup Global Markets Limited, First Abu Dhabi Bank, HSBC Bank