Abu Dhabi NOC Adnoc announced on 6 September that it intends to float at least 7.5% of its Adnoc Drilling subsidiary on the Abu Dhabi Securities Exchange (ADX) in October. Adnoc currently owns 95% of Adnoc Drilling, with US services firm Baker Hughes owning the remaining 5%. Following the IPO, Adnoc’s holding will drop to 87.5%, while Baker Hughes’ position will remain unchanged.
This will be the second IPO of an Adnoc subsidiary, following the 2017 partial listing of retail subsidiary Adnoc Distribution (MEES, 1 December 2017). With Adnoc advancing ambitious expansion plans on both the upstream and downstream front, the energy giant has sought new, often innovative, ways to monetize its assets. It raised more than $16bn last year through deals including the sale of a 49% stake in a real estate subsidiary, a long-term lease on its gas pipeline network and a second 10% placement of Adnoc Distribution shares (MEES, 18 September 2020). (CONTINUED - 1090 WORDS)
