UAE’s ADNOC Distribution to launch IPO on ADX November 26

ADNOC Distribution, which is wholly-owned by state-run crude producer ADNOC, said on Monday it will offer 1.25 billion to 2.5 billion shares, or from a 10 percent to 20 percent stake, of its fuel distribution business in an initial public offering (IPO) on the Abu Dhabi Securities Exchange (ADX).

The share sale will start from November 26 to December 6 for retail investors, and to December 7 for institutions, the company said in its prospectus.

The offer price range is due to be announced on Nov. 26.

The fuel station unit is expected to debut on ADX December 13.

Share allotment for the institutional and retail investors will fall on December 8 and December 11, respectively, with surplus refunds to be deposited no later than December 14.

The company, which was established in 1973, has AED 1 billion in capital and dominates 67 percent of all fuel stations. It also operates 360 retail service stations in Abu Dhabi, Sharjah, Ajman, Ras Al-Khaimah, Fujairah and Umm Al-Qaiwain.

Company Profile
ADNOC Distribution
Stock market	Abu Dhabi Securities Exchange
Company’s core business	Owns and operates a network of fuel service stations and convenience stores across the UAE.
Company’s status	Active
Company’s capital	AED 1 bln

IPO Details
Number of IPO shares	Minimum of 1.25 bln shares Maximum of 2.50 bln shares
Nominal value per share	AED 0.08 per share
Company’s Capital	AED 1 bln (12.5 bln shares)
IPO shares percentage and type	10% to 20% of ordinary shares
IPO price range	Will be disclosed in the prospectus on Nov. 26
First tranche	5% of IPO shares for retail investors
Second tranche	95% of IPO shares for institutional investors
Minimum subscription for first tranche	AED 10,000, increasable in thousands
Minimum subscription for second tranche	AED 5 mln
IPO date	Retail investors from Nov. 26 to Dec. 6
IPO date	Institutional investors from Nov. 26 to Dec.7
Date of disclosing final IPO price	December 8, 2017
Allotment for first tranche	December 11, 2017
Allotment for second tranche	December 8, 2017
Surplus refund date	By December 14, 2017
Listing date	December 13, 2017
Additional Details
Lead managers	EFG Hermes UAE, HSBC Middle East and NBAD
Main IPO banks	NBAD
IPO banks	ADCB, Ajman Bank, Finance House, ADIB, DIB, Noor Bank and UNB
Legal advisor	Al Tamimi & Co. in the UAE and Shearman and Sterling in the USA

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