#Oman State Energy Firm Is Said to Pick Banks to List Two Units - Bloomberg

Oman State Energy Firm Is Said to Pick Banks to List Two Units - Bloomberg

Oman’s state energy company OQ SAOC has picked banks including HSBC Holdings Plc and Morgan Stanley to work on the planned initial public offerings of two of its units, according to people familiar with the matter.

OQ has appointed HSBC to the listing of its exploration and production business while Morgan Stanley will work on the IPO of its methanol and liquefied petroleum gas unit, the people said, asking not to be identified as the information isn’t public.

OQ Exploration & Production could raise about $1 billion, which would make it the country’s biggest on record, Bloomberg News reported in February. Both IPOs are slated for this year although timing may change, people familiar with the matter said at the time.

Local banks will also work on the two planned IPOs, the people said.

Representatives for HSBC and Morgan Stanley declined to comment. OQ wasn’t available for comment.

Oman, the biggest Persian Gulf oil producer that’s not a member of OPEC, is hoping an influx of capital from state asset sales will boost industries such as energy, transport and tourism. That’s part of a broader trend of divestments in the energy-rich region as larger neighbors Saudi Arabia and the United Arab Emirates also look to diversify their economies to prepare for a post-oil age.

The Gulf nation is also chasing an upgrade to emerging market status by broadening its capital markets. The Muscat Stock Exchange is among the smallest bourses in the region.

Last year, OQ floated its gas pipelines business in a record $749 million IPO for Oman as well as its oil-drilling unit Abraj Energy Services SAOG.

Oman’s wealth fund is also planning IPOs of companies it owns, including the state power utility and a logistics firm, Bloomberg News has reported.

#UAE markets gain on possibility of Gaza ceasefire | Reuters

UAE markets gain on possibility of Gaza ceasefire | Reuters

Stock exchanges in the United Arab Emirates closed higher on Friday on the possibility of nearing Gaza ceasefire, which will stabilize the economic activities in the region and ease shipping disruptions in the Red Sea.

U.S. Secretary of State Antony Blinken said on Thursday "the gaps are narrowing" in talks in Doha toward an agreement on the release of hostages and a ceasefire in Israel's conflict with Hamas in Gaza.

The United States will ask the U.N. Security Council on Friday to back a resolution calling for an immediate ceasefire in Gaza and an Israel-Hamas hostage deal, increasing pressure on its ally Israel to allow more humanitarian aid and better protect civilians.

Abu Dhabi's benchmark index (.FTFADGI), opens new tab up 0.4%, gaining for the fifth straight session, lifted by a 1.8% jump in UAE's third-largest lender Abu Dhabi Commercial Bank (ADCB.AD), opens new tab.

Market heavyweights First Abu Dhabi Bank (FAB.AD), opens new tab and International Holding Company (IHC.AD), opens new tab added 0.6% and 0.15, respectively.

Abu Dhabi Ports (ADPORTS.AD), opens new tab gained 1% after the firm acquired a 60% stake in the Tbilisi Dry Port.

Oil prices - a key contributor to Gulf's economies - were up 0.14% at $85.90 a barrel by 1111 GMT.

Dubai's main index (.DFMGI), opens new tab settled 0.1% higher amid a volatile session, helped by a 1.6% rise in Dubai Islamic Bank (DISB.DU), opens new tab and a 1.8% jump in Emirates Central Cooling Systems (EMPOWER.DU), opens new tab.

However, Dubai's parking lot operator Parkin Company (PARKIN.DU), opens new tab declined 2.5% in the second session, after surging more than 35% on its first day of trading on Thursday.

Abu Dhabi index recorded weekly gains of 1.1% after four weeks of losses, while Dubai rose 0.4% on a weekly basis, LSEG data showed.

Sharjah's low-cost carrier Air Arabia (AIRA.DU), opens new tab was the biggest loser on the index, down 5.7% as the stock was trading ex-dividend.