FAQs
1. What is NMDC Energy?
NMDC Energy, formerly known as the National Petroleum Construction Company (NPCC), was established in 1973. Together with its subsidiaries, it provides engineering, procurement, and construction services to both offshore and onshore clients in the energy industry. The company’s main clients include industry leaders such as Abu Dhabi National Oil Company (“ADNOC”) and Aramco Saudi Arabia Oil Company (“ARAMCO”).
NMDC Energy has historically executed over 1,200+ projects which comprise approximately 1,360 installed structures, approximately 8,000 km of laid pipelines both onshore and offshore, and approximately 2,000 km of marine cables.
The Company primarily operates in the UAE, Saudi Arabia, Kuwait, and Taiwan. Additionally, it owns a 33% stake in Principia, France, 100% in NEL, India and 80% in ANEWA, India which provide core engineering services. The Company also has procurement and client interface offices in Spain, Italy, China and Malaysia.
2. How will NMDC Energy grow in the future?
The Company is committed to continually seeking avenues for growth and expansion. The Company invests in new areas for growth to diversify revenue streams and mitigate market volatility, align with global sustainability trends, and comply with increasing environmental regulations. The Company pursues a diverse range of strategic initiatives that foster innovation, enhances competitiveness and opens up long-term growth opportunities in existing markets, renewable energy, digital solutions and carbon capture. By identifying and responding to these demands the Company can attract new clients whilst retaining existing ones, ensuring its relevance and profitability in the evolving energy landscape.
Additional guidance on the Company’s future prospects are included in the section 12.5.13 of the Prospectus (Business Performance and Outlook).
3. Why should potential investors consider investing in NMDC Energy?
Historical track record
- NMDC Energy has achieved robust revenue growth through high-value contracts and successful project completions
- Maintains healthy margins and profitability, reflecting their operational excellence and financial discipline
- Stable revenue and EBITDA growth provide a solid base for future expansion
Clear visibility over revenues through backlog
- Well diversified pending order book AED 54bn across sectors, client type and geographies
- A significant backlog positions NMDC Energy to efficiently execute future projects, driving sustained business growth
Strong project management with superior risk management capabilities
- More than 100 projects delivered to client satisfaction in past 10 years NMDC Energy has a track record of consistent growth and margin profile
- Skilled employee base, led by committed management team with strong sector expertise
Future ready and strategically positioned to harness our existing capabilities for growth during the energy transition
- NMDC Energy successfully diversified into renewable energy projects, demonstrating their adaptability
- The company invest in cutting-edge technologies and sustainable practices, ensuring they stay ahead in the energy transition
4. When is the Initial Public Offering happening?
NMDC Energy announced its intention to float on the Abu Dhabi Securities Exchange on 22 August 2024, and subscriptions will open on 30th August 2024 and close on 4th September 2024 for Tranche 1 and Tranche 2.
5. What is the minimum and maximum subscription size?
- Minimum Subscription for Retail Offer Shares has been set at AED 5,000 (five thousand) with any additional investment to be made in AED 1,000 (one thousand) increments.
- The minimum subscription for Professional Offer Shares has been set at AED 1,000,000 (one million).
- No maximum subscription limit in the Offer Shares has been set for both the tranches