- State energy company OQ will sell 49% in drilling unit
According to Zawya article published on February 14, 2023, Oman's Abraj Energy Services SAOC, a fully owned oil drilling unit of state energy company OQ, on Tuesday said it plans to raise up to 93.97 million Omani rials ($244 million) in an initial public offering (IPO) which will see Saudi Arabia’s wealth fund enter as an anchor investor.
OQ will sell a total of 377,398,000 shares, representing 49% of Abraj's share capital, according to an e-mailed statement.
The total offering size is expected to be between OMR91.33 million to OMR93.97 million, implying a market capitalisation at listing of between OMR186.39 million and OMR191.78 million.
The sale is set to open between February 20 and March 2 for institutional investors. Retail investors can subscribe until March 1.
Shares are expected to commence trading on or around March 14, according to the statement. Retail investors will be offered 15% of the total offering, while the Institutional offering represents 85%.
Saudi Omani Investment Company, which is a wholly owned entity of Saudi Arabia's wealth fund Public Investment Fund (PIF), along with Oman's Royal Court Affairs and Schlumberger Oman, have committed OMR37.6 million as anchor investors, collectively subscribing to 40% of the offering.
A diversified oil and gas services firm, Abraj is the largest drilling contractor in Oman with a market share of almost 30%, according to Reuters.
Ahli Bank Oman, EFG Hermes UAE and National Bank of Oman are acting as global coordinators of the IPO. Ahli Bank Sand National Bank of Oman have been appointed as issue managers.
