Dubai
State-owned Qatar Petroleum said on Wednesday it will list one of its subsidiaries on the local exchange, as the country is looking to jumpstart its local IPO (initial public offering) market and sell some assets to spread its vast energy wealth among Qatari nationals.
Qatar Petroleum said Mesaieed Petrochemical Holding Co raised 3.2 billion Qatari riyals (Dh3.2 billion, $879 million) in what is the first initial public offering in the country since 2010. The offering of shares was only open to Qatari nationals and listing will take place next month.
As elsewhere in the Gulf region, IPO activity came to a halt in Qatar as a result of the global financial crisis. The government has said it wants to complete IPOs worth billions in the next 10 years to revive its stock market. The listings would also give its citizens a chance to gain a bigger share of the country’s profits derived from its oil and gas industry.
Qatar’s stock market last year was upgraded by equity index compiler MSCI to emerging market status, which could attract foreign cash flows once that decision is implemented in May.
Qatar in 2013 also planned a $12 billion IPO of another government-linked entity, but those plans were postponed as it didn’t secure regulatory approval yet.
