The Borouge stock will start trading on ADX from June 3, this being the second big one this year after AD Ports Group.
ADNOC will now own a 54 percent stake in Borouge, which operates a massive industrial complex in Ruwais. The Austrian petrochemicals giant Borealis ME will hold 36 per cent.
Entities such as Abu Dhabi’s International Holding Company, Multiply Group, Alpha Dhabi Holding, ADQ, Abu Dhabi Pension Fund, and Emirates Investment Authority are among the blue-chip investors, as is Gautam Adani, the Indian billionaire. They as ‘cornerstone investors’ will hold a combined 28.4 per cent.
These investors will not offer, sell or announce an offer of any shares they have acquired under the cornerstone investment agreements during a period of not less than six months following admission to listing on ADX.
Subscriptions and payback
The size of the first tranche (reserved for UAE retail and other individual investors) was set at 10 percent, and that of the second – reserved for local, regional, and international qualified institutional investors – was 88 percent.
The third tranche of 2 percent was reserved for employees of ADNOC Group companies residing in the UAE, ADP and PTE employees residing in the UAE, employees of Borealis residing in the UAE, and retired UAE nationals from ADNOC, Borealis, and ADP and PTE.
Investors from the first and third tranches will receive an SMS confirmation of their respective allocation on June 2. (Total demand across Tranches 1 and 3 was $17.9 billion, which is more than 74 times oversubscribed.)