A&O advises the underwriters on the USD2.5bn IPO and listing of ADNOC Gas on the ADX - Abu Dhabi’s largest-ever market debut and the largest IPO globally to date this year

The IPO comprised a sale by the majority shareholder, Abu Dhabi National Oil Company (ADNOC) P.J.S.C., of an approximate 5% stake in ADNOC Gas and raised gross proceeds of approximately USD2.5bn, with an implied market capitalisation for ADNOC Gas of approximately USD50bn at the time of listing. The IPO marks the world’s largest listing so far in 2023, and the largest ever listing on the ADX, surpassing that of Borouge plc, which listed on the ADX in June 2022, where Allen & Overy acted as underwriters counsel.

The IPO was multiple times oversubscribed, with significant demand from UAE investors as well as regional and international investors. Total gross demand for the IPO amounted to over USD124bn, implying an oversubscription level in excess of 50 times in aggregate.

Lead Partner Khalid Garousha commented: “This landmark transaction marks yet another of a series of stand-out IPOs for ADNOC in recent years, many of which we have had the pleasure of supporting on. ECM activity in the GCC region has been at an all time high and is a representation of the maturity and strength of the market, which we are confident we will continue to see for some time.”

The Allen & Overy team was led by Abu Dhabi based Partner Khalid Garousha and US Securities Partner Jeff Hendrickson, supported by a cross border team involving lawyers in the UAE and London.