Tags: Statoil | ABG | BofA | Citi | ipo

Statoil Said to Hire ABG, BofA, Citi for $1 Billion IPO of Unit

Monday, 20 Sep 2010 03:44 PM

Statoil ASA hired ABG Sundal Collier Holding ASA, Bank of America Corp. and Citigroup Inc. to manage the initial public offering of its fuel and retail unit, two people with knowledge of the transaction said.

The sale, planned for this year, may raise as much as $1 billion, said one person, who declined to be identified before an announcement is made. That may make it Norway’s biggest IPO since 2006.

Statoil, Norway’s largest oil and gas company, plans to sell a stake in Statoil Retail & Fuel ASA as it expands abroad to counter dwindling North Sea reserves. Trond Omdal, an analyst at Arctic Securities ASA with a “buy” recommendation on Statoil, values the unit at 10 billion kroner ($1.6 billion) to 12 billion kroner, he said today on the telephone.

“The process is going according to plan and we’re making good progress towards listing in the fourth quarter, should the market conditions allow it,” Statoil spokesman Jannik Lindbaek said today on the telephone. He declined to comment on whether the company appointed banks for the listing or the likely size of the deal.

Officials for ABG and Citigroup weren’t immediately available. A spokeswoman for Bank of America in London declined to comment.

Statoil’s board approved the plan in March and the Stavanger-based company will remain a majority owner in the unit, it said at the time.

Gas Stations

The division runs more than 2,300 gas stations in eight countries, including in Scandinavia, where it has a 23 percent market share, and in Poland and Russia. The unit, which also supplies lubricants and aviation and marine fuels, had adjusted profit of 1.2 billion kroner in the first nine months of 2009.

Statoil on Sept. 2 submitted an application to the Oslo stock exchange for the IPO. The exchange will process Statoil’s application at the bourse’s board meeting on Sept. 29. Should the application be approved, Statoil will have 45 days to conduct the listing, according to the exchange’s rules.

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Statoil ASA hired ABG Sundal Collier Holding ASA, Bank of America Corp. and Citigroup Inc. to manage the initial public offering of its fuel and retail unit, two people with knowledge of the transaction said.The sale, planned for this year, may raise as much as $1 billion,...
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2010-44-20
Monday, 20 Sep 2010 03:44 PM
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