OQGN IPO to become largest ever IPO in Oman

OQGN successfully completes bookbuilding, raising over OMR 288m (c. USD 750m) and giving OQGN a market capitalisation at listing of OMR 606m (c. USD 1.6bn)

• Overwhelming demand of c. OMR 4bn (c. USD 10bn) for OQGN shares from local, regional and international investors with books c. 14x covered (including anchors)
• Exceptionally strong support from institutional investors, raising c. OMR 3.4bn (excluding anchors), resulting in oversubscription levels of c. 29x for the Category I offering
• Over 155,000 individual subscribers participated in the subscription, generating more than OMR 480m for the Category II offering
• The impressive results of the subscription process reflect the deep confidence of the global investor community in Oman’s long-term vision for its capital markets and critical infrastructure
• Final offer price for the Category I offering is set at Bzs 140 per share, which is the top of the price range. Final offer price for the Category II offering is set at Bzs 126 per share, which provides a 10% discount on the offer price of Bzs 140
• The IPO of OQGN has raised over OMR 288m (c. USD 750m), representing a landmark milestone for OQ and the Muscat Stock Exchange (“MSX”)
• OQGN is expected to commence trading on the MSX on 24 October 2023 under the symbol “OQGN”, with a market capitalisation at listing of OMR 606m (c. USD 1.6bn)

Muscat: — OQ Gas Networks S.A.O.G. (under transformation) (“OQGN” or the “Company”) today announces that, following the successful completion of the bookbuilding and public subscription process for its initial public offering (“IPO” or the “Offering”), it has set the final offer price at Bzs 140 per share.

Having received overwhelming demand from investors, the final offer price was set at the top of the price range by OQ in its capacity as the selling shareholder. A total of c. 2.1bn ordinary shares, representing 49% of OQGN’s issued share capital, were offered, which will generate approximately OMR 288m (c. USD 750m) of gross proceeds for the selling shareholder upon settlement, making the OQGN IPO the largest ever IPO in Oman. This includes commitments from anchor investors amounting to approximately OMR 89m (c. USD 230m). Immediately following completion of the OQGN IPO, OQ will continue to own 51% of OQGN’s share capital.

The offering saw strong investor demand and oversubscription for both the Category I offering and Category II offering. Total demand for OQGN shares amounted to c. OMR 4bn (c. USD 10bn). Including anchor investors the book for the IPO was c. 14x oversubscribed.

OQGN shares are expected to commence trading on the MSX on 24 October 2023, under the symbol “OQGN” and ISIN “OM0000009072”. Upon listing the Company will have a market capitalisation of OMR 606m (c. USD 1.6bn), which will make OQGN the third largest company on the MSX by market capitalisation.

About OQGN

OQGN holds a natural monopoly over critical gas transportation infrastructure in Oman as the exclusive owner and operator of the NGTN. OQGN aims to champion the management and development of the NGTN through innovative and sustainable solutions. With the support of its around 480 talented individuals as at 30 June 2023, the Company prioritizes maintaining high standards of operation and maintenance, which is reflected in the OQGN’s operational track-record, having delivered 99.99% gas availability over the last 10 years and recorded no gas supply interruptions in 2022. OQGN’s health and safety record is also testament to its commitment to applicable occupational health and safety standards. OQGN actively considers the interests of society at large and the economic development of Oman in the course of its operations and strives to maximize its engagement in and contribution to the Omani communities and supporting the Government’s efforts towards environmental sustainability.

For more information about OQGN, please visit: https://oqgn.om/