After Aramco listed 1.8% of its shares back in 2019, another MENA oil drilling giant is preparing to list on the Abu Dhabi Stock Exchange (ADX). Abu Dhabi's Oil Company (ADNOC) announced that 7.5% of its drilling shares will be listed on ADX in October after regulatory approval. 5% of these shares will be reserved for the Emirates Investment Authority, while the remaining shares will be available to private investors. ADNOC Drilling will initially offer a fixed dividend of $325m for H2 of 2021 and then raise it 5% annually over the next five years from a starting point of $650m.
This is not the first time that ADNOC has decided to list its shares. Back in 2017, the company listed 10% of its distribution business on the ADX, followed up by raising the offering to 20% last year. With this latest offering, ADNOC continues pursuing its aggressive value creation strategy, allowing it to create new investment opportunities and boost its profile with the international investment community.