Oman’s OQ Exploration and Production Company announced that it will offer 25% of its issued capital on September 30, which will be the largest initial public offering in the Gulf region this year.
The IPO plans are part of a privatisation programme by state-owned energy group OQ, which is helping the sultanate diversify the economy and cut debt.
The company said in a prospectus today that OQ’s exploration and production offering, valued at about 3.120 billion riyals ($8.13 billion), is expected to raise up to $2.03 billion at the top end of the price range.
Offering price
She added that the subscription price for the offering share applied to the first category of the offering ranges from 370 baisas to 390 baisas (one dollar), and the final price will be determined after the process of building the subscription order book, and the offering will include a total of two billion shares.
The company said that OQ E&P shares are expected to start trading on the Muscat Stock Exchange on or around October 28.
Oman, a small oil producer and not a member of OPEC, is following in the footsteps of its neighbors Saudi Arabia and the United Arab Emirates in boosting state-run IPO programs, including energy assets.
