ADNOC drilling IPO raises over $1.1 Billion

Abu Dhabi National Oil Company (ADNOC) said it raised over US $1.1 billion for ADNOC Drilling Company for 11 percent of total issued share capital, and an offer price of AED 2.30 (US $0.6262) per share.

"The Offering was multiple times oversubscribed, with significant demand from UAE Retail Investors and Qualified Institutional Investors. Total gross demand for the IPO amounted to over $34 billion, implying an oversubscription level in excess of 31 times in aggregate," said the company in a statement.

Shares will be traded at Abu Dhabi Securities Exchange (ADX) starting October 3rd of this year, subject to customary closing conditions, under the symbol “ADNOCDRILL” and ISIN “AEA007301012”.

Upon listing on the ADX, ADNOC will continue to own a majority 84 percent stake in the company, while Baker Hughes will retain its 5 percent shareholding. Helmerich & Payne (“H&P”) will hold 1 percent. 

First Abu Dhabi Bank PJSC, Goldman Sachs International, HSBC Bank Middle East Limited and J.P. Morgan Securities plc acted as Joint Global Coordinators and EFG-Hermes UAE Limited, Emirates NBD Capital PSC, International Securities L.L.C, Merrill Lynch International and Société Générale acted as Joint Bookrunners. First Abu Dhabi Bank PJSC acted as the lead receiving bank and Abu Dhabi Commercial Bank PJSC, Abu Dhabi Islamic Bank PJSC and Emirates NBD Bank PJSC acted as receiving banks. While, Moelis & Company acted as Independent Financial Adviser.