Finance Adnoc L&S secures $2bn to fund expansion By Pramod Kumar January 8, 2025, 11:30 AM Wam Since its IPO in June 2023, Adnoc L&S has committed over $5 billion in investments Adnoc Logistics & Services Plc (Adnoc L&S) has finalised up to $2 billion (AED7.3 billion) in new financing to support its growth initiatives. The company has signed a $1.1 billion-$2 billion Hybrid Capital Instrument (HCI). Initial drawing against the HCI will be $1.1 billion, leaving $0.9 billion capacity. Nearly $1 billion will be used to fund the acquisition of Navig8 TopCo Holdings, a shipping and tanker operator. The remaining $900 million will be available to be drawn until December 31, 2026, to fund announced or new value-accretive investments. In addition, the Adnoc subsidiary announced the completion of its acquisition of an 80 percent stake in Navig8 for $1 billion, with a contractual commitment to purchase the remaining 20 percent in mid-2027. CEO Abdulkareem Al Masabi said the financing transaction received strong interest from the market. Adnoc L&S profit and revenue rise in third quarter Revenues of six Adnoc subsidiaries reach $24bn Adnoc L&S awards vessel contracts to South Korea The combination of existing cash, the new finance facility, and the cash flow from contracted vessels will ensure adequate funding, he said. Since its IPO in June 2023, Adnoc L&S has committed over $5 billion in investments. As of January 7 2025, its share price closed at AED5.55, an increase of around 176 percent since its listing. The facility has been arranged and led by Societe Generale, with participation from Abu Dhabi Commercial Bank, First Abu Dhabi Bank, Crédit Agricole Corporate and Investment Bank, BBVA and DBS Bank. Register now: It’s easy and free AGBI registered members can access even more of our unique analysis and perspective on business and economics in the Middle East. Why sign uP Exclusive weekly email from our editor-in-chief Personalised weekly emails for your preferred industry sectors Read and download our insight packed white papers Access to our mobile app Prioritised access to live events Register for free Already registered? Sign in I’ll register later Register now: It’s easy and free AGBI registered members can access even more of our unique analysis and perspective on business and economics in the Middle East. Why sign uP Exclusive weekly email from our editor-in-chief Personalised weekly emails for your preferred industry sectors Read and download our insight packed white papers Access to our mobile app Prioritised access to live events Register for free Already registered? Sign in I’ll register later
