EFG Hermes, the leading investment bank franchise in Frontier and Emerging Markets (FEM), announced today that its investment banking division successfully completed advisory on the USD 2.5 billion initial public offering (IPO) of ADNOC Gas plc — a large-scale, integrated gas processing company and an integral part of ADNOC’s value chain — on the Abu Dhabi Securities Exchange (ADX). The listing marks the largest on the ADX to date, and the largest IPO globally so far this year. EFG Hermes acted as joint bookrunner on the transaction.
The listing saw ADNOC Gas offer a total of 5% of its share capital, equivalent to 3,837,571,100 shares, at a nominal value of AED 2.37/share — implying a market capitalization of AED 181.9 billion. The company began trading today under the ticker (ADNOCGAS)
Mohamed Fahmi, EFG Hermes’ Co-Head of Investment Banking, commented, “We are delighted to be advising on ADNOC Gas plc’s IPO, which marks the largest listing on the ADX to date. ADNOC Gas comes on the heels of several landmark deals our investment banking division has advised on for the integrated energy solutions provider ADNOC, having previously concluded advisory on ADNOC Drilling’s USD 1.1 billion and Fertiglobe’s USD 795 million IPOs in 2021, as well as Borouge plc’s USD 2.0 billion IPO in 2022. We continue to strengthen our presence in the GCC as we ramp up our pipeline of prominent equity transactions across the region’s largest exchange a testament to our unwavering efforts to capture the rising demand in the region and bring quality, value-generating investment prospects to local and global investors.”
Operating since January 2023, ADNOC Gas plc was established to consolidate the operations, maintenance, and marketing of ADNOC’s downstream gas processing, liquefied natural gas (LNG) and industrial gas businesses. Today, it is a vital component of the UAE’s energy system and a key pillar in the country’s strategy to achieve gas self-sufficiency, supplying over 60% of the UAE’s sales gas needs and a diverse customer base in over 20 countries. With a world-class integrated gas platform that includes access to a total gas processing capacity of over 10 billion standard cubic feet per day and a liquid capacity of 29 million tons per year, ADNOC Gas has access to 95% of the UAE’s natural gas reserves — estimated at the seventh-largest natural gas reserves globally.
This transaction marks the Firm’s first IPO this year, and is the latest of several landmark transactions EFG Hermes has advised on, having closed 12 ECM deals valued at USD 12.7 billion in 2022. The division advised on the first dual listing between the ADX and Saudi Exchange in a deal worth USD 1.8 billion for Americana Restaurants International. It also advised on Taaleem’s USD 204 million IPO and Salik’s USD 1.0 billion listings on the DFM. In Abu Dhabi, the division concluded advisory on the USD 2.0 billion listing of Borouge plc on the ADX. In Saudi Arabia, EFG Hermes Investment Banking advised on Riyadh Cables’ USD 400 million IPO on the Saudi Exchange. In Kuwait, the division advised on Ali Alghanim and Sons Automotive Company’s USD 323 million private placement ahead of its IPO on Boursa Kuwait.
