Asyad Group Seeks Up To $333 Million in #Oman IPO - Bloomberg

Asyad Group Seeks Up To $333 Million in Oman IPO - Bloomberg

A conglomerate backed by Oman’s sovereign wealth fund is set to raise as much as OMR128.1 million ($332.7 million) from the initial public offering of its shipping business.

Asyad Group SAOC will sell a 20% stake in the unit, or about 1.04 billion shares, between 117 baisas and 123 baisas apiece, according to a statement on Tuesday. Asyad Shipping Co. will be valued at $1.66 billion at the top end of that range.

The offering has attracted anchor investors, with Mars Development and Investment LLC committing to subscribe for 10% of the offering, and Falcon Investments LLC — a subsidiary of the Qatar Investment Authority — committing to 20% of the deal, at 123 baisas per share.

Shares are expected to start trading in Muscat on March 12.

Oman plans to divest 30 state-backed assets as part of plans to deepen its capital markets, including power utility Oman Electricity Transmission Co. Last year, IPO volumes in Muscat surpassed London’s after raising a record $2.5 billion with the listings of two units of state-owned energy firm OQ SAOC.

But recent Omani listings have seen lackluster returns, and analysts say Asyad’s plans to take the shipping unit public will test the sultanate’s ability to deliver on its wide-ranging privatization program. The Asyad Group has over $4.1 billion in assets and interests across maritime services, ports and free zones, logistics and public services.

Established in 2003, Asyad Shipping operates a fleet of 89 vessels serving over 60 countries.

Sohar International Bank is the issue manager, while JPMorgan Chase & Co, Jefferies Financial Group Inc., EFG Hermes and Oman Investment Bank are among the joint global coordinators. Credit Agricole SA and Societe Generale will be the joint bookrunners for the issue.