Mubadala Seeks Over $20 Billion Value for EGA in IPO
The Abu Dhabi sovereign wealth fund has asked banks to start pitching for roles on an initial public offering of EGA, the people said, asking not to be identified discussing confidential information.
EGA is the Middle East’s biggest aluminium producer and is equally owned by Mubadala and Investment Corp. of Dubai. It has smelters in Abu Dhabi and Dubai and a bauxite mine in Guinea. The company generated revenue of $5.1 billion in 2020 and made earnings before interest, taxes, depreciation and amortization of $1.1 billion.
Deliberations are ongoing, and any final decisions on the size and timing of EGA’s IPO will depend on investor demand and market conditions, according to the people. A representative for Mubadala declined to comment, while a spokesperson for ICD didn’t immediately respond to request for comment.
A listing of EGA could rank among the largest-ever share sales in the UAE and come at a time when state-owned entities are seeking to monetize their core assets. Mubadala raised $731 million in an IPO of satellite operator Yahsat this month, in what was Abu Dhabi’s second-largest listing.
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