Oman-based methanol and ammonia producer, OQ Base Industries (OQBI), is set to launch an initial public offering (IPO) on the Muscat Stock Exchange, with plans to list 49% of its shares by December.
The subscription window for Category I and Category II investors is anticipated to open later this month. The offering’s size may be adjusted by OQ SAOC.
“The intended listing would provide investors with the opportunity to invest in Oman’s only production company of methanol, ammonia, and LPG products,” the company said in a statement Monday.
OQ owns the entirety of OQBI, directly and through subsidiaries Takamul Investment Company and OQ Salalah Industries Company. For the year ending December 31, 2023, OQBI reported $510 million in revenue and an adjusted EBITDA margin of 43.1%.
Following the offering, OQBI plans to distribute dividends twice annually, with an initial payout of approximately $63.6 million for the first nine months of 2024, expected by January 2025.
The announcement comes shortly after Oman’s state oil group listed its exploration and production business, OQEP, which raised $2.03 billion—the largest listing in Oman’s history.
Earlier this year, the Oman Investment Authority (OIA) revealed it is working on a new five-year divestment strategy, focusing on launching IPOs in strategic sectors, including energy, services and logistics. Moreover, the sovereign wealth fund said it will pursue private placements to attract strategic investors for the agriculture, aquaculture, and mining sectors
