Borouge, a petrochemicals firm headquartered in Abu Dhabi, announced on Monday that it secured seven cornerstone investors. The firm confirmed that it included the Adani Family IPO for $2bn, the wealthiest in India. Adani Group is an Ahmedabad-based multinational conglomerate involved in port development and operations in India.
Borouge conveyed that the firm secured a total commitment of around $570m from Abu Dhabi state holding firm ADQ. They are the Abu Dhabi Pension Fund, the Emirates Investment Authority, and India’s Adani family. International Holding Company, Multiply Group, and Alpha Dhabi, control the entities.
Just an hour after opening, it covers the books for the initial public offering. The bookrunner of the deal said in public. However, ADNOC (Abu Dhabi National Oil Company) declined to give further comment about the deal. Borouge itself is a joint venture between the ADNOC as one of the world’s major oil and gas companies.
Borouge has an innovation center in Abu Dhabi as well as a manufacturing plant in Ruwais. The application center and compounding plant are in Shanghai. The marketing center is in Singapore. The company owns more than 3000 people over 60 nationalities. Moreover, the customers are around 50 countries across the Middle East, Asia, and Africa.
Furthermore, the most used items such as cars and food packaging argued that the offering would cover approximately 3bn. The 3bn covers the existing shares, representing 10% of the company’s issued share capital. Thus, gulf oil, other producers are also following the path of Abu Dhabi. They are planning to raise multi billion dollars through sales of stakes in energy assets. They attempted to leverage the capital to rebound crude prices in order to gain foreign investors’ attraction.
