(Bloomberg) -- Oman’s state energy company OQ SAOC is set to kick off the initial public offering of its methanol and liquefied petroleum gas unit as soon as the end of this month, according to people familiar with the matter.
The firm is seeking a valuation of between $1 billion to $1.5 billion for OQ Base Industries, the people said, asking not to be named while discussing confidential information.
OQ tapped Morgan Stanley as an adviser on the potential listing, Bloomberg News has previously reported, while at least two local banks are also likely to be hired to work on the offering, the people said.
No final decisions have been made on timing or terms of the deal, including valuation. Representatives for OQ Base Industries weren’t immediately available for comment.
The deal would come days after the firm raised a record $2 billion from an IPO of OQ Exploration & Production — the biggest Gulf IPO since Adnoc Gas Plc’s $2.5 billion share sale in 2023.
Oman is in the midst of an aggressive privatisation drive that includes plans to list the state power utility, and logistics firm Asyad. Last year, OQ floated its gas pipelines business in a $749 million IPO.
The OQEP offer drew aggregate demand of $5.4 billion, indicating continued interest in Gulf deals despite escalating violence in the Middle East. Firms in the region have raised just under $8 billion this year through new share sales, according to data compiled by Bloomberg.
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