Dubai's ENOC said to discuss retail unit IPO

Dubai's state-owned oil refiner Emirates National Oil Co. (ENOC) has held talks with banking advisers for a potential initial public offering (IPO) of its fuel-retailing unit, Bloomberg reported, citing unnamed people familiar with the matter.

The discussions were held in Decmeber, the people said, adding that ENOC's retail unit could be valued more than $7 billion in case of a listing.

Final decision has not been made and ENOC could decide to eventually not pursue an IPO, the people said.

“(ENOC) is not planning for any IPO currently,” a representative for the company told Bloomberg. “The group’s financial performance has been resilient throughout the downturn in the oil and gas industry, which is reflected in our ability to secure various sources of funding.”

ENOC’s retail arm operates 116 service stations in the UAE.

Last month, Abu Dhabi National Oil Company listed its fuel distribution unit, ADNOC Distribution, raising AED 3.1 billion in the process.