The UAE's ADNOC offers 10% of the shares of "Borouge" for subscription on the Abu Dhabi Stock Exchange - Energy

The Abu Dhabi National Oil Company, ADNOC, intends to offer a 10% stake in Borouge for initial public offering on the Abu Dhabi Securities Exchange.

It is expected that, with the announcement of the Emirati company and its strategic partner, Borealis, about the offering, subscription for the shares of the offering will begin on May 23, 2022, subject to obtaining approvals from the relevant regulatory authorities, according to the Emirates News Agency, WAM.

Founded in 1998 as a joint venture between the Abu Dhabi National Oil Company ADNOC and Borealis to combine the strengths, experience and advantages of the two companies, Borouge is today one of the world’s leading providers of innovative and diversified solutions from high-value polymers.

Borouge business

ADNOC - Borouge Company
An ADNOC subsidiary, Borouge – Image via Bloomberg

UAE company Borouge, a subsidiary of the Abu Dhabi National Oil Company ADNOC, spans several sectors, including agriculture, construction and construction, energy, advanced packaging, transportation and health.

Its product portfolio also includes polyethylene and polypropylene, two of the most widely used polymers in industrial applications such as sustainable packaging, tubes and fittings, lines, automobiles and medical devices.

Borouge’s polymer solutions are classified into two main divisions: polymer solutions for consumers, and polymer solutions for infrastructure facilities.

Consumer solutions include sustainable packaging, medical containers and greenhouse covers, while infrastructure solutions include water and gas pipelines and power transmission lines.

Offering to the public

ADNOC, by offering a minority stake in Borouge to the public, provides an exceptional opportunity for investors to participate in the growth story of a pioneering company, which plays an important role in achieving sustainable growth for the Emirate of Abu Dhabi in particular, and the UAE in general.

Sultan bin Ahmed Al Jaber, UAE Minister of Industry and Advanced Technology, Managing Director and CEO of ADNOC Petroleum and its group of companies, said that the company continues its efforts to support the growth and diversification of the economy and the development of capital markets in the UAE.

He added: “Today we announce the intention of ADNOC and our strategic partner Borealis to offer a minority stake in Borouge, our petrochemical joint venture, on the Abu Dhabi Securities Exchange.”

It is expected that the subscription to the Borouge shares will be available to citizens and residents in the UAE, in addition to international and local investment institutions.

Al-Jaber explained that through the offering of Borouge and the previously announced investment, by acquiring 25% of the shares of Borealis, ADNOC is preparing to benefit from the rise in demand for the petrochemical sector in the coming decades, which is led by the industrial and consumer sectors.

development investment plan

This is the fourth placement of one of ADNOC’s subsidiaries in the market, in a new step to create value and achieve smart growth.

The UAE company continues its efforts to maximize the value of its integrated assets in the areas of exploration, development, production, refining, marketing and manufacturing.

The main axes of Borouge’s strategic growth plan include achieving continuous growth in its product portfolio, through innovation, providing sustainable solutions, product development, access to strategic markets and geographical expansion.

Read also..

Subscribe to the newsletter to receive the most important energy news.

#UAEs #ADNOC #offers #shares #Borouge #subscription #Abu #Dhabi #Stock #Exchange #Energy


Leave a Reply

Your email address will not be published.