Skip to content Skip to sidebar Skip to footer

OQ Gas Networks makes history with Oman’s largest IPO, raises $750 million

Oman’s economic landscape has been reshaped with the historic achievement of OQ Gas Networks, the vital pipeline subsidiary of state-owned OQ oil company, raising a monumental 288 million Omani rials (equivalent to $750 million) in its recent initial public offering (IPO). This achievement, marking Oman’s most substantial financial milestone, witnessed extraordinary interest from a diverse pool of investors, both domestic and international. The demand soared to an astounding 14 times the supply, amounting to over 4 billion rials ($10 billion), eventually setting the share price at 140 baizas.

Post-IPO, OQ retains its majority stake at 51 percent, allowing OQ Gas Networks to debut on the Muscat Stock Exchange (MSX) under the symbol “OQGN” from October 24. With a market capitalization of 606 million rials, it will secure its position as the third-largest MSX company, transforming the economic landscape of Oman significantly.

OQ Gas Networks holds a critical role as Oman’s sole provider of gas transportation infrastructure, ensuring an uninterrupted supply chain, as evidenced by its flawless operations in 2022. The extensive network spans 4,031 kilometers, enabling the transportation of 39.4 billion cubic meters of gas to around 130 consumers through six producers. This accomplishment is part of the government’s broader divestment initiative, led by the Oman Investment Authority, affirming Oman’s robust economic growth amidst global economic challenges.

Oman’s extraordinary IPO success reflects the region’s resilience, with IPO activities in the Middle East and North Africa growing by 44 percent in the second quarter of this year, despite a global slowdown in equity markets. OQ Gas Networks’ achievement not only makes headlines but also sets a new standard for financial excellence in the region.

© 2020 The Purple Stroke FZE LLC. All rights reserved. The material on this site may not be reproduced, distributed, transmitted, cached, or otherwise used, except with the prior written permission of The Purple Stroke FZE LLC. All the information carried herein is checked and verified to the best of our knowledge and abilities. In matters of views expressed and opinions held, it is solely that of the authors and contributors themselves. The editorial or publisher or ASPIRE cannot be held responsible for unintended errors and oversights if any.

Sign Up to Our Newsletter

Total
0
Share