NMDC Group’s IPO of NMDC Energy closes 31.3 times oversubscribed, generating total gross demand of AED 88 billion

• Retail tranche oversubscribed 600 times, Professional tranche 16.7 times
• ADX trading due to commence on Wednesday, 11 September 2024

Abu Dhabi, UAE: 05 September 2024 –  NMDC Group, a leader in engineering, procurement, construction, and marine dredging, today announces the successful closing of the Initial Public Offering (“IPO” or “Offering”) of NMDC Energy, which was oversubscribed by 31.3 excluding cornerstone. The offering attracted exceptional investor interest, generating total gross demand of AED 88 billion.

The offering of 1.15 billion shares in NMDC Energy, representing 23% of the total share capital, was made available to eligible investors at AED 2.8 per share. The IPO saw outstanding demand across all segments, becoming oversubscribed within hours of its launch on 30 August 2024. At the close of the subscription period, the Retail tranche was oversubscribed 600 times, and the Professional tranche by 16.7 times. The offering will generate AED 3.22 billion for NMDC Group.

Yasser Zaghloul, Group CEO of NMDC, said: “This IPO isn’t just a financial milestone—it’s a bold statement about who we are and where we’re going. The unprecedented interest we received underscores the market’s trust in NMDC Group’s ability to lead the industries of the future. We are at the forefront of a new era, and this marks the beginning of something extraordinary.

“With this step, we are building a legacy that goes beyond profits; it’s about sustainable growth, technological innovation, and pushing the boundaries of what’s possible in the energy sector. The future will see NMDC Energy pioneering solutions that power industries and inspire and uplift communities both regionally and globally. As we enter this next phase, I am more confident than ever that NMDC Energy will continue to set new benchmarks and deliver on our promise to drive meaningful progress for the UAE and the global stage.

“Our success today is rooted in the dedication and vision of our shareholders, Board of Directors and every member of NMDC Group.”

Ahmed Al Dhaheri, CEO of NMDC Energy, said: “The immense investor interest in our IPO clearly demonstrates that the market understands the value and potential of NMDC Energy. Additionally, this IPO consolidates the UAE’s position a leader in supplying the world’s energy needs. As we prepare for a new phase as an ADX-listed company, we will build on this milestone by targeting organic and inorganic growth, expanding our geographical reach, as well as creating synergies that drive transformation and innovation across the business.”

NMDC Energy’s Constitutive General Assembly meeting is scheduled for Monday, 9 September 2024, with trading on the ADX to begin on Wednesday, 11 September 2024, subject to the necessary conditions and approvals. The shares will trade under the symbol NMDCENR.

First Abu Dhabi Bank PJSC acted as lead receiving bank and lead manager for the IPO. Abu Dhabi Commercial Bank PJSC, WIO Bank PJSC, and Al Maryah Community Bank LLC were other receiving banks. International Securities LLC was the placement agent and listing advisor. Hadef & Partners were the legal advisors.

With over 50 years of global experience, NMDC Energy provides integrated solutions in the energy sector, including engineering, procurement, and construction services. The company operates modern manufacturing facilities in Abu Dhabi, covering 1.3 million square meters. As of 30th June 2024, NMDC Energy's backlog were valued at approximately AED 54 billion, spanning diverse sectors and regions. The company has a diverse international portfolio with a strong presence in the UAE, Saudi Arabia, Kuwait, India, and Taiwan. To further expand its capabilities, the company is developing a new 400,000-square-meter manufacturing facility at Ras Al Khair Port in Saudi Arabia.

NMDC Group is backed by Alpha Dhabi Holding, a fast-growing investment company in the Middle East and a subsidiary of International Holding Company (IHC).