Thursday 20 / February / 2025
Backed by strategic anchor investors, Asyad Shipping S.A.O.G (under transformation) announces offer price range and details of subscription period
• Offering comprises of sale of a total of 1,041,748,856 existing shares of Asyad Shipping S.A.O.G (“Asyad Shipping” or “ASC” or the “Company”) by Asyad Group SAOC, (“Asyad Group” or the “Selling Shareholder”), representing 20% of Asyad Shipping’s total issued share capital.
• Anchor investors Mars Development and Investment LLC and Falcon Investments LLC, a subsidiary of the Qatar Investment Authority, have committed to subscribe for 10% and 20% of the Offer respectively, at Bzs 123 per share.
• Trust of major local and regional strategic investors reflects attractiveness of investment opportunity.
• The Offer is expected to raise up to OMR 128.1 million (equivalent to USD 332.8 million) at the top of the price range, valuing Asyad Shipping at up to OMR 640.7 million (equivalent to USD 1.66 billion).
• Subscription price for the Category I offer will be between Bzs 117 and Bzs 123 per share with the final price to be set through a bookbuilding exercise. Subscription price for the Category II offer to be set at Bzs 123 per share.
• The Offering will include a Category I offer for Institutional investors representing 75% of the total offer size and which includes a sale to Anchor Investors representing 30% of the total offer size. A Category II Retail offer represents the remaining 25% of the total offer size.
• Subscription periods open on 20 February 2025, with the Category I offer closing on 27 February 2025 and the Category II offer closing on 26 February 2025.
• Asyad Shipping shares are expected to commence trading on the MSX on or about 12 March 2025.
• The investor roadshow will commence in the Sultanate of Oman on Wednesday, 19 February 2025.
Muscat, Oman, 18 February 2025: Asyad Shipping Company SAOG (under transformation) (“Asyad Shipping” or “ASC” or “the Company”), today announces the price range and details of the subscription period for its initial public offering (the “IPO” or the “Offering”) on the MSX. The prospectus has been approved by the Financial Services Authority (“FSA”) of the Sultanate of Oman, which regulates and develops Oman's financial markets for the capital market and insurance sectors.
The Offer is expected to raise up to OMR 128.1 million (equivalent to USD 332.8 million) at the top of the price range. valuing Asyad Shipping at up to OMR 640.7 million (equivalent to USD 1.6641 billion). Based on FX Rate used: 1 USD = 0.385 OMR.
DETAILS OF THE OFFER PRICE RANGE AND SUBSCRIPTION PROCESS
The Offering will be conducted in the manner as approved by the FSA and will be offered in a parallel offering as follows:
The Selling Shareholder intends to offer 20% of Asyad Shipping’s total share capital. Immediately following the Offering, a majority of the shares of Asyad Shipping will continue to be held by Asyad Group. The Company and the Selling Shareholder reserve the right to amend the size of the Offering at any time prior to the end of the subscription period in their sole discretion, subject to applicable laws and the approval of the FSA.
All the shares being sold by the Selling Shareholder are existing ordinary shares and the Company will not receive any proceeds from the sale of the shares in the Offering, all of which will be paid to the Selling Shareholder. The Offering expenses will be paid by the Selling Shareholder.
• Category I Offer: 468,786,985 Offer Shares have been allocated for local, regional, and international Category I Applicants, being 45% of the Offer Shares. Allocation of Offer Shares to Category I Applicants shall be determined by the Selling Shareholder in consultation with the Joint Global Coordinators. The minimum limit for subscription by each Category I Applicant is 100,000 Offer Shares and in multiples of 100 Offer Shares thereafter.
• Anchor investors: 312,524,657 Offer Shares have been allocated for Anchor Investors, being 30% of the Offer. In this respect, the Company has received irrevocable commitments from two strategic local and regional anchor investors, Mars Development and Investment LLC and Falcon Investments LLC, to subscribe for 10% (representing 33% of the total Offer allocated to Anchor Investors) and Falcon Investments LLC, a subsidiary of the Qatar Investment Authority, committed to subscribe for 20% (representing 67% of the total Offer allocated to Anchor Investors) of the Offer. The commitments by the two anchor investors demonstrate a substantial vote of confidence in the Company's value proposition, track record, and strategic vision.
• Category II Offer: 260,437,214 Offer Shares have been allocated for Category II, being 25% of the Offer (allocation to Category II Applicants to be made on a proportionate basis). The Category II Offer is further split equally between the Category II Applicants (large retail) and Category II Applicants (small retail) subcategories.
o Large retail applicants may apply for at least 81,400 Offer Shares and thereafter in multiples of 100 Offer Shares. There is no maximum limit on the number of Offer Shares that may be subscribed to pursuant to an Application for Category II Applicants (large retail).
o Small retail applicants may apply for at least 100 Offer Shares and thereafter in multiples of 100 Offer Shares. The maximum limit on the number of Offer Shares that may be subscribed pursuant to an Application for Category II Applicants (small retail) is equivalent to no more than 81,300 Offer Shares
The shares held by the Selling Shareholder following completion of the Offering shall be subject to a lockup which starts on the date of Admission and ends 180 calendar days thereafter, subject to customary exceptions and waiver by the Joint Global Coordinators. The Company will also be subject to a lock-up starting on the date of Admission and ending 180 calendar days thereafter, subject to customary exceptions and waiver by the Joint Global Coordinators. Shares purchased by the Anchor Investors are subject to a 90-day lock-up, following Admission. Admission of the Shares to listing and trading on the MSX is expected on or about 12 March 2025, subject to receiving all required regulatory approvals.
The completion of the Offering and Admission is subject to market conditions and obtaining all necessary regulatory approvals.
• Sohar International Bank has been appointed as the issue manager (“Issue Manager”). Oman Investment Bank, Sohar International Bank, EFG Hermes, Jefferies and JP Morgan, have been appointed as joint global coordinators (the “Joint Global Coordinators”). Crédit Agricole Corporate and Investment Bank and Société Générale have been appointed as joint bookrunners.
• Full details of the Offering are available in the Prospectus under the Key Documents section on https://AsyadShipping.com/ipo as well as at the branches of the collection agents detailed in the Prospectus.
IMPORTANT DATES
➢ Commencement of Management Roadshow: 19 February 2025
➢ Date of listing and trading on MSX (expected): On or about 12 March 2025
Category I Institutional
(Non-Individuals)
o Offer opening date: 20 February 2025
o Offer closing date: 27 February 2025
Category II Retail
(Individuals)
o Offer opening date: 20 February 2025
o Offer closing date: 26 February 2025
DIVIDEND POLICY
Asyad Shipping’s dividend policy is designed to reflect the Company’s expectation of strong cash flow and expected long-term earnings potential while allowing the Company to retain sufficient capital to fund ongoing operating requirements and continued investment for long term growth.
Prior to completion of the IPO, the Company declared a dividend of USD 25.7 million (approximately OMR 9.9 million) payable in February 2025 to existing, pre-IPO shareholders on the basis of the Company’s pre-IPO performance.
Following completion of the IPO, the Company intends to declare a dividend of USD 58.0 million (approximately OMR 22.3 million) payable in March 2025 to shareholders of record on the basis of the Company’s performance for the year ended 31 December 2024 and to declare a dividend of USD 75.0 million (approximately OMR 29.0 million) payable in September 2025 to shareholders of record on the basis the Company’s performance for the six months ending 30 June 2025. The Company expects to declare a dividend of USD 75.0 million (approximately OMR 29.0 million) payable in March 2026 on the basis of the Company’s performance for the year ending 31 December 2025.
In 2026, the Company expects to declare a fixed annual dividend of USD 150.0 million (approximately OMR 58.0 million), 50% of which, amounting to USD 75.0 million (approximately OMR 29.0 million), is expected to be paid in September 2026 on the basis of the Company’s performance for the six months ending 30 June 2026, and the remaining 50% of which, amounting to USD 75.0 million (approximately OMR 29.0 million), is expected to be paid in March 2027 on the basis of the Company’s performance for the year ending 31 December 2026.
In 2027, the Company expects to declare a dividend based on 95% of the audited net income for the year ending 31 December 2027. The Company expects to pay 50% of this dividend in September 2027 and 50% in March 2028.
Thereafter, the Company intends to maintain consistency in the distribution of profits, taking into account its growth strategy and cash flow generation. The Company intends to pay out dividends for the first six months of the year in September of that year and for the last six months of the year in March of the following year.
ABOUT ANCHOR INVESTORS
Mars Development and Investment LLC
Mars Development and Investment LLC was established in 2017 as a wholly owned government investment company registered in Oman which invests across multiple asset classes and sectors both locally and internationally. The company is dynamic in its approach with the ultimate goal of generating direct and indirect value to Oman through knowledge transfer, technological advancement and socio-economic development.
Falcon Investments LLC / Qatar Investment Authority
Qatar Investment Authority (“QIA”) is the sovereign wealth fund of the State of Qatar. QIA was founded in 2005 to invest and manage the state reserve funds. QIA is among the largest and most active sovereign wealth funds globally. QIA invests across a wide range of asset classes and regions as well as in partnership with leading institutions around the world to build a global and diversified investment portfolio with a long-term perspective that can deliver sustainable returns and contribute to the prosperity of the State of Qatar. For more information on QIA, visit its website at www.qia.qa.
