Skip to content Skip to Search
Skip navigation

Saudi driller Ades expects pricing IPO at top of range

Headquartered in Khobar, Ades operates a fleet of offshore and onshore rigs across the Middle East, North Africa and India Reuters/Nick Oxford
Headquartered in Khobar, Ades operates a fleet of offshore and onshore rigs across the Middle East, North Africa and India

Oil and gas driller Ades Holding is likely to price its initial public offering (IPO) at the top of the range, according to a media report.

The company, backed by the Saudi sovereign Public Investment Fund, is expected to price its shares at SAR13.50 ($3.60), raising SAR4.57 billion ($1.22 billion), Reuters reported citing a bank’s message to investors.

The company set its share price range between SAR12.50 and SAR13.50.

The share sale comprises 338.72 million ordinary shares, resulting in a free float of 30 percent after the sale of a mix of existing and newly issued shares through a capital increase.

The institutional book-building process started on September 10 and closed on September 14. Subscription for the retail tranche will start from September 26 to 28.

Saudi auto rental company Lumi priced its IPO at the top of the range last week, giving it a valuation of SAR3.63 billion.

Headquartered in Khobar, Ades operates a fleet of offshore and onshore rigs across the Middle East, North Africa and India. Its key clients are Saudi Aramco, Kuwait Oil Company and North Oil Company in Qatar.

Selling shareholders PIF, Ades Investments Holdings and Zamil Group Investment will collectively sell 101,615,626 existing shares in proportion to their shareholding. Ades will also issue 237,103,128 new shares.

Ades operates across the Arab region, including Saudi Arabia, Kuwait, Qatar, Egypt, Algeria and Tunisia. Operations in India will start in 2023 on the back of already awarded contracts.

The company has an aggregate fleet of 85 rigs in seven countries, including three rigs in India, 36 onshore drilling rigs, 46 jackup offshore drilling rigs, two jackup barges and one mobile offshore production unit.

The oil and gas driller reported SAR1.98 billion in total revenue from customer contracts in the first half of 2023 and has a total backlog of SAR27.6 billion as of June 30, 2023.

Latest articles

Microsoft president Brad Smith and G42 CEO Peng Xiao (right) sign the $1.5bn investment deal in the presence of G42 chairman Sheikh Tahnoon bin Zayed Al Nahyan

Microsoft invests in UAE’s AI leader G42 

The US tech giant Microsoft will invest $1.5 billion in the Abu Dhabi-based artificial intelligence (AI) company G42 to help accelerate its global expansion strategy. As part of the deal G42 will run its AI applications and services on Azure, Microsoft’s cloud computing platform. Brad Smith, vice-chair and president of Microsoft, will join the G42 […]

Spinneys CEO Sunil Kumar and chairman Ali Al Bwardy. The company operates 75 grocery retail supermarkets in the UAE and Oman

Spinneys to offer 900m shares in Dubai IPO

Supermarket operator Spinneys will sell 25 percent of its business in an initial public offering (IPO) on the Dubai Financial Market (DFM), according to an intention to float document released on Tuesday. The company’s offering will be open from April 23 to April 29 for retail investors, while institutional investors can subscribe until April 30, according […]

The number of international passengers at DXB reached nearly 87 million in 2023, rising 32% from the previous year

DXB remains world’s busiest international airport

Dubai International (DXB) has maintained its status as the world’s busiest international airport, beating London and Amsterdam, the Airports Council International (ACI), an association of world airports, said in a new report. DXB has secured the top place for the 10th consecutive year, with the number of international passengers reaching nearly 87 million in 2023, […]

Real GDP growth projection for the UAE was revised to 3.9 percent this year, up from 3.7 percent

World Bank raises UAE’s economic growth outlook

The World Bank has raised its UAE economic growth forecast for 2024 and 2025, citing robust non-oil sector growth and higher oil output. The real GDP growth projection for the Gulf state was revised to 3.9 percent this year, up from its previous forecast of 3.7 percent in January, the World Bank said in its […]