ADNOC Sells 3% of its Distribution Unit


Logos of ADNOC (Reuters)
Logos of ADNOC (Reuters)
TT
20

ADNOC Sells 3% of its Distribution Unit


Logos of ADNOC (Reuters)
Logos of ADNOC (Reuters)

Abu Dhabi National Oil Company announced the successful closing of its offering of approximately 375 million shares in ADNOC Distribution, approximately 3 percent of the registered share capital of ADNOC Distribution.

The securities referred to herein may not be offered or sold in the United States unless registered under the US Securities Act of 1933, as amended, or offered in a transaction exempt from, or not subject to, the registration requirements of the US Securities Act and in compliance with applicable United States state law.

It also issued approximately $1,195 billion of senior unsecured bonds due 2024 that are exchangeable into existing shares of ADNOC Distribution constituting approximately 7 percent of the registered share capital of ADNOC Distribution, under certain conditions.

“This announcement does not contain or constitute an offer of, or the solicitation of an offer to buy or subscribe for, securities to any person in the United Arab Emirates, the United States, Australia, Canada, Japan or Saudi Arabia, or in any jurisdiction in which such offer or solicitation is unlawful,” read the company’s statement.

The combined offering was placed at a blended price of AED 4.82 ($1.1) per share, which is 5.7 percent above the current 3-month volume-weighted average share price.

The Exchangeable Bonds, with a maturity date of 2024, are denominated in US dollars and bear a coupon of 0.70 percent, said the company.

The Exchangeable Bonds are issued at an issue price of 100 percent and will be exchangeable into existing shares of ADNOC Distribution at an exchange price of AED 5.01 ($1.37) under certain conditions.

Settlement of the Share Offering is expected to occur on or about May 31, and settlement of the Exchangeable Bond Offering is expected to occur on or about June 4.

UAE Minister of Industry and Advanced Technology and Managing Director and Group CEO of ADNOC Sultan Ahmed al-Jaber said the success of this innovative and pioneering Combined Offering, the first of its kind in the GCC, highlights the attractive investment opportunities and environment provided by ADNOC, Abu Dhabi, and the UAE.

The "innovative deal structure" has the potential to increase the free float of ADNOC Distribution to 30 percent assuming the Exchangeable Bonds are exchanged and settled in shares, and ADNOC will retain at least a 70 percent strategic stake in the company as it continues to see significant growth potential in ADNOC Distribution, according to Jaber.



Doha to Host Islamic Finance Conference on April 8

The 11th Doha Islamic Finance Conference on April 8 is set to explore the development of decentralized financial platforms that align with Islamic economic principles (QNA)
The 11th Doha Islamic Finance Conference on April 8 is set to explore the development of decentralized financial platforms that align with Islamic economic principles (QNA)
TT
20

Doha to Host Islamic Finance Conference on April 8

The 11th Doha Islamic Finance Conference on April 8 is set to explore the development of decentralized financial platforms that align with Islamic economic principles (QNA)
The 11th Doha Islamic Finance Conference on April 8 is set to explore the development of decentralized financial platforms that align with Islamic economic principles (QNA)

The 11th Doha Islamic Finance Conference on April 8 is set to explore the development of decentralized financial platforms that align with Islamic economic principles.

Held under the theme ‘Integration of Blockchain and AI: The Future of Islamic Finance,’ the event will bring together a distinguished lineup of government entities, global organizations, and leading financial and academic institutions specializing in finance, economics, and technology.

Dr. Khalid bin Ibrahim Al Sulaiti, Chairman of the Organizing Committee and Vice Chairman of Bait Al-Mashura Finance Consultations, said: “The world is witnessing the trajectory of a new revolution driven by the integration of blockchain and AI, adding complexity while opening broader horizons for more efficient, transparent, flexible, and sustainable solutions.”

He added that after decades of growth, leadership, development, and innovation, Islamic finance has established itself as one of the inspiring economic models capable of adapting to global changes and has achieved a creative synergy between Shariah principles and financial innovation.

“With the emerging integration of blockchain and AI, Islamic finance stands at a historic crossroads, poised to develop a modern model for smart and sustainable Islamic finance, one that balances innovative technologies with the values of Islamic economics and enables it to compete in the digital financial world,” Al Sulaiti noted.

“Through this 11th conference, we aim to anticipate the future of Islamic finance in light of the integration of blockchain and AI by analyzing the future prospects of this technological synergy,” he said.

This includes examining Shariah rulings and regulatory challenges in a rapidly evolving digital environment and fostering innovation and creativity by adopting decentralized AI-based solutions to develop Islamic financial products, particularly endowments (Awqaf), according to Al Sulaiti.

Also, he said, the conference uniquely addresses complex topics, such as the investment opportunities for Islamic financial institutions in the gaming and e-sports sectors and explores experiences and initiatives of decentralized Islamic finance platforms built on values that enhance security and privacy.

Furthermore, it aims to identify the Shariah and legal frameworks for incorporating AI and blockchain in Islamic finance, support and protect the management of endowments (Awqaf) using decentralized AI, and unlock investment and innovation opportunities in Shariah-compliant decentralized digital gaming, the Vice Chairman said.

The conference, he added, seeks to develop decentralized Islamic finance platforms that ensure security, privacy, and augment value chains.

The event will feature discussions on major topics, including Decentralized AI: Rules and Regulations. This theme focuses on studying the impact of decentralized AI on deriving Shariah rulings and analyzing the implications for Islamic jurisprudence, particularly regarding smart contracts and issues of ambiguity (Jahala).

It also explores the role of regulatory authorities in overseeing decentralized financial operations and examines the feasibility of establishing a comprehensive legal framework for integrating these

technologies in Islamic financial institutions to ensure Shariah compliance, boost investor confidence, and enhance institutional efficiency.

The second theme, ‘the ‘Endowments (Waqf) in the Era of Blockchain and AI Integration,’ discusses the role of blockchain and AI in developing waqf products by reviewing existing initiatives and exploring mechanisms for utilizing decentralized AI to safeguard endowments and ensure their sustainability.

It also highlights the role of these technologies in enhancing humanitarian responses to crises and disasters and delves into Shariah rulings for managing smart waqf systems.

Business reports indicate a growing number of organizations seeking to integrate AI solutions into their operations, highlighting the significant impact of smart technologies on performance efficiency and revenue growth.

They also show that endowments, a cornerstone of sustainable development in Islamic societies, can greatly benefit from the integration of blockchain and AI.

The 3rd theme is about ‘The Blockchain Gaming Revolution: Rulings and Investment Opportunities’ from the perspective of Islamic finance, focusing on Shariah-compliant rulings and regulations for gaming and e-sports. It also explores the potential use of gaming for charitable purposes by analyzing real-world global examples.

The electronic gaming industry is among the fastest-growing global sectors, with market projections exceeding $280 billion by 2024 and anticipated growth to $665.8 billion by 2030.

The entry of AI and blockchain technologies into this field has created significant investment opportunities in decentralized gaming and digital sports.

The fourth theme examines the ‘Value Chains through Decentralized Finance Powered by AI’ through the development of Shariah-compliant value-based investment platforms in the context of blockchain and AI integration.

It reviews existing initiatives and proposes new ones to advance these platforms. Furthermore, it presents a vision for decentralized Islamic finance built on value chains and examines the role of these technologies in enhancing cybersecurity and data privacy protection.

With the growing interest in decentralized finance (DeFi) as an alternative to traditional systems, decentralized AI technology amplifies its significance, unlocking broader applications.

However, Islamic finance platforms in this domain remain limited and face Shariah, ethical, and legal challenges.