ADNOC raises $935 million in ADNOC Drilling shares sale

Abu Dhabi National Oil Company (ADNOC) announced on Thursday that it successfully completed a placement to institutional investors of 880 million shares in ADNOC Drilling Company.

It represents 5.5 per cent of ADNOC Drilling’s total issued and outstanding share capital, and will increase the Company’s free float to 16.5 per cent.

The Offering saw strong demand from institutional investors in the GCC and internationally, and was priced at AED 3.90 per share, approximately 70 per cent above the Initial Public Offering (IPO) price of AED 2.30 per share, and represents a 5.6 per cent discount to the Company’s closing price on May 22.

Settlement of the Offering is expected to occur on or around May 28.

ADNOC will continue to retain a majority 78.5 per cent shareholding in the Company and has also agreed to a restriction from selling further shares for a period of six months from closing of the Offering, subject to customary carve-outs.