Adnoc Distribution’s IPO raises AED 3.1 bln

The fuel distribution unit of Abu Dhabi National Oil Company’s (Adnoc) initial public offering (IPO) has raised AED 3.1 billion, the company said in a statement.

Adnoc Distribution sold 1.25 billion shares, or 10 percent of its share capital at AED 2.50 per share, compared with a revised indicative range of AED 2.35 - AED 2.65 set last week.

Local institutional investors accounted for 60 percent of the IPO, while international institutions took 30 percent. Retail investors subscribed to 10 percent, an increase from the initial percentage due to high demand.

“This is considered the largest IPO on the Abu Dhabi Securities Exchange (ADX) in the last decade, and it represents a great investment opportunity in UAE’s number one fuel distribution firm,” said Sultan bin Ahmad Sultan Al Jaber, group chief executive of state-owned Adnoc.

The stock will be listed and traded on the ADX starting Dec. 13.