Abu Dhabi's ADNOC paves the way for historical Initial Public Offering
Abu Dhabi’s national oil company has said it is considering an Initial Public Offering of some of its service units – a move which would raise billions of dollars for the organization.
The plan of action was unveiled as part of ADNOC’s revised business plan, which is to include increased collaboration with other companies and a maximize value across its entire supply chain.
It insisted that there are no plans to sell off parts of ADNOC, the Group holding company. ADNOC will remain fully owned by the Government of Abu Dhabi.
There have been rumours over Abu Dhabi’s most significant organization looking to sell some of its assets since Saudi Aramco announced its intention to sell some of its business interests in 2016, in what could be the most lucrative IPO of all time.
In its announcement, ADNOC said: “Central to ADNOC’s new approach will be the more active management of its portfolio of assets and businesses. “ADNOC is also considering the IPO of minority stakes of some of its services businesses which have attractive investment and growth profiles.
“Such IPOs would support the growth and expansion of the UAE’s private sector and equity capital markets and will allow the public, and other investors, to invest alongside ADNOC and benefit from the future growth of these assets.
“ADNOC will continue to be a committed, long-term majority shareholder in any businesses that are listed.”
The news comes as Saudi Aramco’s CEO, Amin Nasser, told reporters at a conference in Turkey on Monday that the energy giant is still on course to sell 5% of its business in 2018.
Its IPO has caught the imagination of the financial community, with all of the world’s major exchanges keen to host the sale. It is predicted that the IPO could raise anything from $1 trillion to $2 trillion for Aramco.
Global Offshore rebrands Enelift and invests in global hubs
Global Offshore has rebranded Enelift and will invest "a seven-figure sum" in establishing new support hubs in Houston, Dubai, Singapore, Perth and the Caspian during the next six months.
The investment will cover oil, gas and renewables, mainly concentrating on manufacturing capability with associated R&D, as well as in stock held in the hubs.
The company’s flagship Hinge Lok technology provides aluminium, non-welded light weight transportation cradle for casing and tubing. Enelift now plans to enhance its offering by augmenting its existing solutions with robotics and remote operational and training technology, which will reduce manpower for handling offshore equipment that is transported and stored using the Hinge Lok system.
Enelift is partnering with "a Japanese robotics company" and the technology will be trialed with "a Norwegian operator on a Norwegian drilling rig", according to a statement.
Operating from its bases in Aberdeen, UK and Esbjerg, Enelift was founded by 35-year industry veteran and Managing Director Paul Brebner 10 years ago to offer the offshore energy industries safe, reliable and efficient storage and transportation of equipment.
The expansion plans are bolstered by the appointment of Jim Clark of the Craigendarroch Group to Chairman, and Adam Maitland to Non-Executive Director. Maitland is the Managing Director of Hutcheon Mearns IF, and brings his wealth of expertise in the field of corporate finance.
Brebner said Enelift may be a new name in the market, but the experience it brings is "industry renowned".
"Our solutions are underpinned by safety that enables inefficiencies and their associated costs to be eradicated – meaning operational personnel can focus doing what they do best, safely. We remain committed to providing the safest storage and transportation solutions for equipment in the sector as we grow our global operations," he said.
Clark said the market is changing and its solutions fully support customers’ economic and safety aspirations.
"We are very well placed to take full advantage of increasing opportunities in the Middle East, Africa, Far East and Americas. Safety is our absolute commitment to our customers and our support hubs will facilitate this. Aligning our identity to our entire offering ensures that we will drive our expansion through new products and global support sites across the rest of this year."