DUBAI: State-owned UAE energy firm ADNOC Gas announced a price range on Thursday for an initial public offering it hopes will raise $2 billion, in what would be this year’s biggest share flotation so far.

ADNOC Gas, an offshoot of Abu Dhabi National Oil Company (ADNOC), is selling four percent of issued share capital or 3.07 billion shares at 2.25-2.43 dirhams ($0.61-0.66), valuing the company at $47-50.8 billion, it said in a statement.

“Investors purchased all the shares on offer within an hour,” a source close to the company told AFP, citing a message sent to investors.

The final offer price is due to be announced on March 3, and trading on the Abu Dhabi stock exchange is expected to start on March 13.

At the top of its range, the IPO will raise just over $2 billion.

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The Abu Dhabi Pension Fund, South Africa’s Alpha Wave Ventures and Abu Dhabi’s IHC Capital Holding are among the cornerstone investors, as well as other Emirati-controlled entities, committing a combined $850 million.

The share flotation, announced only last week, follows increased activity in the gas market following Russia’s invasion of Ukraine.

European countries scrambled to secure new gas suppliers other than Russia, sending prices to record highs before they fell back during an unusually mild winter.

ADNOC Gas’s parent company, ADNOC, is one of the world’s biggest producers of crude and the United Arab Emirates’ key revenue-earner.

According to Bloomberg, only $1.67 billion has been raised in IPOs in Europe, the Middle East and Africa so far this year.