{"id":8045,"date":"2023-10-06T12:30:15","date_gmt":"2023-10-06T12:30:15","guid":{"rendered":"https:\/\/roydadnaft.ir\/English\/?p=8045"},"modified":"2023-10-07T12:00:41","modified_gmt":"2023-10-07T12:00:41","slug":"omans-oq-gas-networks-expected-to-price-ipo-at-top-of-range","status":"publish","type":"post","link":"https:\/\/roydadnaft.ir\/English\/8045\/","title":{"rendered":"Oman’s OQ Gas Networks expected to price IPO at top of range"},"content":{"rendered":"

RoydadNaft – <\/a><\/span>\u00a0Oman’s OQ Gas Networks (OQGN), the pipeline business of state oil giant OQ, is expected to price its $771 million initial public offering (IPO) at the top of the marketed range, according to terms seen by Reuters.<\/p>\n

Orders below 140 Omani baisas ($0.36) per share risk missing out on the deal, one of the banks on the transaction said in a message to investors seen by Reuters. Books were oversubscribed multiple times at this level, and will close on Monday, it said.<\/p>\n

Three anchor investors have already committed to taking 10% each of the offering at the top end of the range, the company said last month.<\/p>\n

These are Saudi Omani Investment Company, a unit fully-owned by Saudi Arabia’s Public Investment Fund; Falcon Investments, a subsidiary of the Qatar Investment Authority; and Fluxys International.<\/p>\n

OQ is selling a 49% stake, equivalent to 2.12 billion shares, in its gas pipelines business between 131 and 140 Omani baisas per share.<\/p>\n

At the top of the range, OQGN would be the country’s largest IPO in history, exceeding Oman Telecommunications’ $748 million IPO in 2005.<\/p>\n

Bank of America, Bank Muscat and EFG Hermes are joint global coordinators on the transaction. Shares are expected to debut on the bourse in Muscat on or around Oct. 24.<\/p>\n

Oman follows Abu Dhabi and Saudi Arabia in looking at sales of stakes in energy assets, seeking to capitalise on a rebound in crude prices to attract foreign investors and boost interest in their respective exchanges.<\/p>\n

As the exclusive operator of Oman’s gas transport system, OQGN supplies natural gas to power plants, free zones, industrial clusters, liquefied natural gas complexes and other customers.<\/p>\n

Seen as one of the Gulf’s weaker economies, Oman is primarily reliant on hydrocarbon revenue despite some reforms and plans to diversify its economy.<\/p>\n

The reforms and a shake-up of state entities are being driven by Sultan Haitham bin Tariq al-Said, who took the throne in early 2020 after the death of Sultan Qaboos, who ruled for nearly five decades.<\/p>\n

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