Cairo - Decypha: Kuwait Energy is planning an initial public offering in London that could boost the value of its exploration business at as much as $one billion, reported World Oil.
Kuwait Energy didn’t immediately respond to requests, while representatives for Bank of America, Numis declined to comment.
The number of oil and gas companies going public dwindled after oil prices crashed in 2014. The last IPO of size in London was that of Nigerian oil and gas explorer Seplat Petroleum Development, which raised more than $500 million that year, according to Bloomberg.
Exploration firms raised $4.4 billion from listings globally in 2016, according to data compiled by Bloomberg. That’s less than half the $10.7 billion in new stock they sold in 2014.
Kuwait Energy was working with Bank of America to explore options including combinations with other industry players or selling a stake in the business, people familiar with the matter said in January. The options also included issuing global depository receipts, the people said at the time.
Kuwait Energy had a net loss of $62.4 million in 2015, compared with a $42.7 million profit in 2014, according to its annual report.
