The price range for the unit it created in November by merging its gas processing and liquefied natural gas subsidiaries was set at AED 2.25 ($0.6126) to AED 2.43 per share, the company said in a statement.
State oil major Abu Dhabi National Oil Company (ADNOC) said on Thursday it had set a price range for an initial public offering (IPO) of its gas unit that could raise as much as $2 billion, valuing ADNOC Gas’ stake at $47 billion to $50.8 billion.
The price range for the unit it created in November by merging its gas processing and liquefied natural gas subsidiaries was set at AED 2.25 ($0.6126) to AED 2.43 per share, the company said in a statement.
Cornerstone investors Abu Dhabi Pension Fund, Alpha Wave Ventures II, IHC Capital Holding, OneIM Fund I and entities eventually controlled by ADQ and the Emirates Investment Authority have committed around $850 million, it added.
ADNOC is selling approximately 3 billion shares in its natural gas business, equivalent to approximately 4% of its issued capital.
At the upper end of that range, ADNOC would raise about $2 billion from the sale, according to Reuters calculations.
A final offer is expected to be announced on March 3 and trading in the listing is expected to begin on March 13, the company said.
ADNOC is stepping up its focus on the gas market as Europe seeks to replace all Russian energy imports as early as mid-2024 as supplies dwindle following Western sanctions against Ukraine over its invasion.
According to Dealogic, Middle Eastern companies will raise about $21.9 billion in IPOs in 2022, more than half of the total in the broader EMEA region, which includes Europe and Africa.
In the past two years, ADNOC has listed petrochemical company Borouge, fertilizer and clean ammonia product maker Fertiglobe and ADNOC Drilling. It also plans to float its logistics and services division.