(WO) – Oman raises record $2B $2 billion from the initial public offering of its exploration and production business, marking the sultanate’s biggest listing on record.
The deal is the biggest Gulf IPO since Adnoc Gas Plc’s $2.5 billion share sale in 2023. In the wider Europe, Middle East and Africa region, the listing is the year’s fourth biggest, behind Puig Brands, Galderma Group and CVC Capital Partners.
OQ SAOC sold 2 billion shares, or a 25% stake, in OQ Exploration & Production at 390 baisas ($1.01) per share, according to a statement Thursday. That’s the top end of a range that started at 370 baisas apiece, and values the firm at $8.1 billion.
The offer drew aggregate demand of $5.4 billion, indicating continued interest in Gulf deals despite escalating violence in the Middle East. Firms in the region have raised over $5 billion this year through new share sales, excluding the OQEP deal, according to data compiled by Bloomberg.
There are more in the pipeline. Hypermarket chain LuLu Group International is weighing a potential dual listing, and Abu Dhabi flag carrier Etihad Airways is eyeing a share sale. Meantime, Saudi Arabia’s wealth fund is planning to list the kingdom’s largest medical procurement firm.
Six anchor investors subscribed to 20% of the OQEP offering, the firm said. Shares will begin trading on the Muscat Stock Exchange on or about Oct. 28.
The deal is the latest in a series of listings out of Oman, where the government is in the midst of an ambitious privatization strategy.
Last year, OQ floated its gas pipelines business in a $749 million IPO as well as its oil-drilling unit Abraj Energy Services SAOG. Meantime, Oman’s wealth fund is planning several dozen listings over the next few years, including the state power utility and a logistics firm.
HSBC Holdings Plc, Natixis SA, Sohar International Bank SAOG and Oman Investment Bank are the joint global coordinators for the OQEP deal.
