(WO) – ADNOC Drilling’s stock has been selected for inclusion in the prestigious MSCI indexes, effective post market close on August 30, 2024. ADNOC Drilling will be included in the MSCI Indexes, including MSCI EM, and MSCI UAE, after meeting the necessary criteria. The company will become the 12th member of the MSCI UAE index.
In May 2024, ADNOC successfully completed a placement to institutional investors of 880 million shares in ADNOC Drilling for $935 Million. This represented 5.5% of ADNOC Drilling’s total issued and outstanding share capital and increased the Company’s free float to 16.5%. This increase in the free float allowed the Company to meet all the necessary MSCI Index inclusion requirements.
Inclusion in MSCI indexes provides greater visibility among global investors and increases the credibility of the stock in financial markets. Inclusion of the ADNOC Drilling stock is expected to boost liquidity, given the expected passive inflows as well as potential appetite from active institutional investors tracking MSCI indexes.
The MSCI Emerging Markets Index (MSCI EM) captures large and mid-cap representation across 24 Emerging Markets (EM) countries. The MSCI United Arab Emirates (UAE) Index (MSCI UAE) is designed to measure the performance of the large and mid-cap segments of the UAE market.
Commenting on the inclusion in the MSCI, Abdulrahman Abdulla Al Seiari, Chief Executive Officer, ADNOC Drilling, said, “We are immensely proud of ADNOC Drilling becoming a new component of the MSCI. This milestone will allow ADNOC Drilling to further broaden and diversify its investor base and make its unique business model and return profile more visible to the global markets. This achievement results from our unwavering commitment to operational excellence and safety, sustainable growth, investor focus and, not least, the continuous support of our shareholders.”
ADNOC Drilling is the largest drilling and integrated drilling services company in the Middle East by fleet size, owning and operating one of the largest multi-discipline drilling fleets in the world.
The company is a critical link in ADNOC’s upstream business, as ADNOC accelerates its production capacity targets in light of globally increasing demand for energy and enables the UAE’s gas growth. ADNOC Drilling incorporated IDS into its portfolio in 2018 and now offers a total solution of start-to-finish wells and associated services that encompass the entire drilling value chain.
This article was originally posted at www.worldoil.com
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