UAE’s ADNOC considering IPOs of other subsidiaries: report

State-owned Abu Dhabi National Oil Co. (ADNOC) is mulling further listings of its business units, The National newspaper reported, citing ADNOC Group CEO and United Arab Emirates state minister Sultan Al Jaber.

ADNOC launched the initial public offering (IPO) of ADNOC Distribution, its wholly owned fuel distribution unit, on the Abu Dhabi bourse yesterday.

An indicative price range of between AED 2.35 and AED 2.95 was set for the listing, which could potentially raise $2 billion to become the UAE’s largest since 2007.

“We will continue to consider the potential minority listings of some of our services businesses where a listing might be appropriate, as well as, of course, other options,” Al Jaber said.

He ruled out a sale of shares in ADNOC as a holding company, and declined to specify which subsidiary would be listed.

ADNOC is selling a minimum of 10 percent, or 1.25 billion shares, and a maximum of 20 percent, or 2.5 billion shares in ADNOC Distribution. The share sale lasts until Dec.7.

ADNOC Distribution, which was established in 1973, has AED 1 billion in capital. It operates 360 retail service stations in Abu Dhabi, Sharjah, Ajman, Ras Al-Khaimah, Fujairah and Umm Al-Qaiwain.