ADNOC Drilling to Join MSCI Indexes In Boost To Global Investor Visibility

ADNOC Drilling Company has revealed that its stock will be included in the MSCI indexes starting from August 30, 2024. This inclusion follows the company meeting all necessary criteria for the MSCI Emerging Markets (EM) and MSCI UAE indexes.

Being part of the MSCI indexes enhances ADNOC Drilling's visibility among global investors, boosting its credibility in financial markets. The company's stock is expected to see increased liquidity due to anticipated passive inflows and interest from active institutional investors tracking these indexes.

In May 2024, ADNOC successfully placed 880 million shares of ADNOC Drilling with institutional investors, raising $935 million. This represented 5.5% of the company's total issued share capital, increasing its free float to 16.5%. This increase was crucial for meeting MSCI Index inclusion requirements.

Abdulrahman Abdulla Al Seiari, CEO of ADNOC Drilling, expressed pride in the company's inclusion in the MSCI indexes. He stated, "We are immensely proud of ADNOC Drilling becoming a new component of the MSCI. This milestone will allow ADNOC Drilling to further broaden and diversify its investor base and make its unique business model and return profile more visible to the global markets. This achievement results from our unwavering commitment to operational excellence and safety, sustainable growth, investor focus and, not least, the continuous support of our shareholders."

The MSCI Emerging Markets Index (MSCI EM) includes large and mid-cap representation across 24 emerging market countries. Meanwhile, the MSCI UAE Index measures performance within the large and mid-cap segments of the UAE market.

ADNOC Drilling's inclusion in these prestigious indexes marks a significant milestone for the company. It becomes the 12th member of the MSCI UAE index, reflecting its growing prominence in both local and international markets.

This achievement underscores ADNOC Drilling's commitment to operational excellence, sustainable growth, and investor focus. The continuous support from shareholders has been pivotal in reaching this milestone.

The enhanced visibility from being part of these indexes is expected to attract more investors globally. This will likely lead to increased trading activity and liquidity for ADNOC Drilling's stock.

ADNOC Drilling's strategic moves have positioned it well within global financial markets. The company's efforts to meet MSCI criteria demonstrate its dedication to maintaining high standards and achieving sustainable growth.

The inclusion in MSCI indexes is not just a recognition but also an opportunity for ADNOC Drilling to showcase its business model on a global stage. It highlights the company's potential for delivering strong returns while adhering to best practices in operational excellence and safety.

This development is a testament to ADNOC Drilling’s strategic vision and execution capabilities. It reflects their ability to adapt and thrive in competitive markets while maintaining a focus on long-term growth and shareholder value.

The broader investor base resulting from this inclusion will help ADNOC Drilling achieve greater market penetration. It will also enhance its ability to attract diverse investment profiles, contributing positively to its overall market performance.

This milestone aligns with ADNOC Drilling’s broader strategy of expanding its reach and impact within global financial markets. The company continues to build on its strengths while exploring new opportunities for growth and development.

ADNOC Drilling’s journey towards inclusion in these prestigious indexes showcases its resilience and strategic foresight. The company remains committed to delivering value through innovation, operational excellence, and sustainable practices.

With inputs from WAM