Abu Dhabi’s Adnoc turns to shipping sector IPO

(Bloomberg)–

Abu Dhabi’s major energy company has hired Citigroup, JPMorgan and Abu Dhabi First Bank PJSC to work on listing its shipping unit, according to people familiar with the matter.

Adnoc Logistics & Services could launch an IPO as early as the first half of next year, the people said, asking not to be identified as discussing confidential information. Moelis & Co. has been appointed as financial adviser, and Abu Dhabi National Oil may authorize more banks to list, they said.

The deliberations are ongoing and no final decision has been made on the timetable, the people said. Details such as the valuation and the size of the sale were not immediately available.

Representatives for Adnoc, Citigroup, JPMorgan, First Abu Dhabi Bank and Moelis declined to comment.

The IPO boom that swept the Middle East throughout the year remained in full swing, with deals attracting strong investor demand and more companies joining the list. IPOs in the Middle East have raised $16.6 billion so far, set for the best year on record after 2019.

Adnoc Logistics – with more than 200 vessels transporting crude oil, refined products, dry bulk, containerized cargo, LPG and LNG – has been expanding its fleet in response to the growing upstream and downstream business of the state-owned enterprise Demand grows.

Its IPO would meet the ambitions of OPEC’s third-largest producer to list more companies and raise funds for expansion.

Adnoc pumps almost all of the UAE’s oil and gas and hopes to produce 5 million barrels One day by 2025 – than previously disclosed According to Bloomberg, the 2030 target. At the same time, the company has raised billions by listing its fertilizer and drilling units, as well as a plastics business called Borouge.

– With the assistance of Anthony Di Paola.

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