– EFG Hermes successfully closed a $935 million accelerated equity offering (AEO) for Adnoc Drilling Company, marking the largest AEO in the UAE.

– The offering involved the sale of 880 million shares priced at AED 3.90 each, representing 5.5% of Adnoc Drilling’s total share capital, with Adnoc retaining a 78.5% shareholding.

– The AEO saw strong demand from institutional investors in the GCC and globally, pricing shares approximately 70% above the IPO price and showcasing EFG Hermes’s expertise in regional capital markets.

EFG Hermes, part of EFG Holding and the leading investment bank in the Middle East and North Africa (MENA) region, has announced the successful closure of a $935 million accelerated equity offering (AEO) for Adnoc Drilling Company.

Acting as joint global coordinator and joint bookrunner, EFG Hermes facilitated the largest AEO in the UAE, involving the sale of 880 million shares priced at AED 3.90 each, representing 5.5% of Adnoc Drilling’s total share capital. Adnoc retains a majority 78.5% shareholding in the company, Reuters reported.

This transaction is a significant achievement for EFG Hermes, underscoring its expertise and robust distribution network in regional capital markets. The AEO attracted strong demand from institutional investors in the GCC and globally, pricing the shares at AED 3.90 each—approximately 70% above the IPO price of AED 2.30 per share, and a 5.6% discount to the company’s closing price on May 22, 2024. Settlement is expected on or around May 28.

Ali Khalpey, Head of Equity Capital Markets at EFG Hermes’s Investment Banking division, stated: “We are honored to play a pivotal role in this groundbreaking offering. This is our seventh ECM transaction with Adnoc, highlighting the long-standing and successful relationship between our companies. This AEO, attracting significant institutional demand, sets a new standard for the region and paves the way for future opportunities.”