The United Arab Emirates(UAE) based company RAK Petroleum plans to launch an initial public offering in Norway by the end of the year.
RAK Petroleum said the decision to list followed a fifth year of increasing profits which included AED (United Arab Emirates Dirham) 58.1million in 2013.
The company will transfer all of its assets, liabilities and business to a new UK company RAK Petroleum, as part of a re-organisation, which was approved by shareholders last year.
Bijan Mossavar-Rahmani, the chief executive officer of RAK Petroleum, said: “Last year was a banner year for RAK Petroleum and its shareholders with significant growth in our DNO ASA investment and the addition of a growing portfolio of exploration and production assets offshore West Africa.
“With the listing we will build on our track record of robust shareholder returns by increasing strategic flexibility and enhancing our access to capital markets to fund growth.”
The Initial Public Offering will comprise a public offering to institutional and retail investors in Norway and a private placement to certain institutional investors internationally.
The current target is for RAK Petroleum plc to raise the equivalent of $25million through issuance of new shares.
Current shareholders have also been offered the opportunity to place their shares into the offering.
Completion of the offering is expected to take place in November 2014, if market conditions are satisfactory.
It will also be dependent on the approval of the listing application by the board of directors of the Oslo Børs – the Norwegian stock exchange – and on meeting the requirements for admission to trading, including approval of a prospectus by the Norwegian Financial Supervisory Authority.
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