Petronas IPO to raise $4.2bn at $1.69 a share
Malaysia’s Petronas Chemicals is likely to raise $4.2bn (£2.6bn) in Southeast Asia’s biggest ever IPO after setting an indicative price range for the float, analysts said.
The unit of Malaysian state oil giant Petronas indicated at a briefing it is likely to price its IPO at 5.05 ringgit for retail investors and 5.20 ringgit ($1.69) for institutions, analysts said. However, a spokesman said the price range for the IPO has not been set.
“A price range has not yet been determined and the information will be distributed through the proper channels when it has been set,” the spokesman said, adding the process was still very much in “its early days”.
The IPO comes as Asian capital markets are seeing a flurry of multi-billion deals, helped by a flood of liquidity, low interest rates and strong economic growth. Petronas Chemicals’ IPO is set to exceed Maxis’ $3.3bn IPO last year and also raise more capital than the proposed listing of another Petronas-linked vehicle, Malaysia Marine and Heavy Engineering.