Abu Dhabi National Oil Co (ADNOC) has invited investment banks to offer bookrunner roles for its drilling unit’s initial public offering, two sources told Reuters on Sunday.
The oil giant has invited a handful of international and local banks to participate in the process of public sale of ADNOC Drilling shares, which is due to take place later this month, they said.
ADNOC plans to go public in the third quarter, they added. One of the sources previously said that ADNOC could raise at least $ 1 billion through the sale of shares. Read more
ADNOC, which supplies nearly 3% of global oil demand, declined to comment when contacted by Reuters on Sunday.
ADNOC Drilling owns and operates a large rig fleet, including 75 onshore rigs, 20 offshore lifting rigs and 11 well drilling rigs, according to its website.
Drilling activity is essential for ADNOC’s upstream operations, helping the oil company meet its production targets.
ADNOC CEO Sultan al-Jaber was the chief architect of the transformation strategy the company launched over four years ago, creating an investment team to monetize assets and leverage funds from international private equity groups.
He also plans to float Fertiglobe, a fertilizer joint venture with the Dutch-listed chemicals maker OCI (OCI.AS), later this year.
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