The Oil and Gas Development Company Limited (OGDCL) announced on Thursday the launch of a secondary offering of its ordinary shares and Global Depositary Shares (GDSs) representing shares and the commencement of an international investor road-show.
“Over the next two weeks, we will be visiting international investors around the world to raise awareness of this offer in our shares and the opportunity that OGDCL represents as the largest upstream player in Pakistan,” said Muhammad Rafi, Managing Director and Chief Executive Officer of OGDCL.
In addition to the company’s large reserves base, attractive portfolio of exploration acreage and stable production profile, the OGDCL had a proven track record of creating shareholder value, the CEO added.
The offer will represent up to 10 per cent of the government of Pakistan’s shareholding in OGDCL comprising up to 322,460,900 shares, which corresponds to 7.5 per cent of the total share capital of the company.
Based on the closing share price of OGDCL shares on October 1, the offering will be valued at approximately Rs 80.796 billion or $ 788 million.
The offer consists of (a) an international institutional offering (the “International Institutional Offer”), in the form of shares and GDSs, to international institutional investors, including: (i) to Qualified Institutional Buyers in the United States (“US”), as defined in and in reliance on Rule 144A of the US Securities Act of 1993, as amended (the “Securities Act”); and (ii) outside the US, to certain persons in offshore transactions under Regulation S of the Securities Act, (b) a domestic institutional offering (the “Domestic Institutional Offer”) of shares to institutional and high net worth individual investors; and (c) a domestic public offering (the “Domestic Public Offer”) of shares to the general public including a portion reserved for OGDCL employees.
The shares are listed and traded on the Karachi Stock Exchange, Lahore Stock Exchange and the Islamabad Stock Exchange under the symbol “OGDC”.
The GDSs are listed on the London Stock Exchange with each GDS representing 10 shares under the symbol “OGDC”.
The price for the shares and GDSs offered would be fixed following the investor road-show and book-building process that would, respectively, commence on October 2 and 9.
