ADNOC redeems its redeemable bonds in its distribution sector


ADNOC has settled its redeemable bonds in ADNOC Distribution in cash, strengthening its ownership in the subsidiary and underscoring its commitment to its future.

Abu Dhabi National Oil Company announced (ADNOC) to redeem the full value of its unsecured dollar-denominated bonds, which were exchangeable for shares in ADNOC Distribution.

According to a statement issued by the company, a total amount of $1.199 billion in cash was paid to bondholders on June 4, allowing ADNOC to retain ownership of shares in the company. ADNOC For distribution.

ADNOC issued these exchangeable bonds in May 2021, with approximately 375 million ADNOC shares being offered for distribution.

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With the expiration of the option to settle the bonds through share exchange on May 4, ADNOC chose to settle the bonds in cash by paying investors the principal amount of $1.195 billion, in addition to the applicable coupon of $4.18 million.

As a result of this full cash settlement, the free float ratio of ADNOC Distribution shares remained unchanged, remaining at 23%, with ADNOC retaining its majority ownership of the shares at 77%.

In this context, ADNOC affirmed its long-term commitment to ADNOC Distribution, its full support for the company’s growth strategy, and its belief in the value it provides to all stakeholders.

ADNOC also indicated that it aims to maintain a fixed shareholding in ADNOC Distribution after the maturity of the exchangeable bonds.



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