ADNOC Logistics & Services (ADNOC L&S) is set to raise as much as 2.23 billion dirhams ($607 million) from the IPO of a 15% stake as investor appetite for public offerings continues unabated in the Middle East.

The ADNOC subsidiary set the price range for its offering at between AED 1.99 and AED 2.01 per share, implying an equity value of $4.01 billion to $4.05 billion, the company said in a statement on Tuesday.

Al Seer Marine Supplies & Equipment Co PJSC, National Marine Dredging Co PJSC, Alpha Oryx Ltd. (ultimately owned by Abu Dhabi wealth fund ADQ) and Abu Dhabi Pension Fund will become cornerstone investors and have together committed about $180 million.

The subscription period for the offering starts Tuesday and runs until Tuesday, May 23 for UAE retail investors, while it will run through  May 24, 2023, for professional investors.

The final offer price, determined through a book building process, is expected to be announced on May 25, while the listing on the Abu Dhabi Securities Exchange is set for June 1.

This will be the second listing of a unit by state energy giant ADNOC this year. In March its gas business raised $2.5 billion.  

Citigroup Inc, First Abu Dhabi Bank PJSC, HSBC Holdings Plc and JPMorgan Chase & Co. have been appointed as joint global coordinators and joint bookrunners. Abu Dhabi Commercial Bank PJSC, Arqaam Capital Limited, Credit Agricole SA, EFG-Hermes, International Securities and Societe Generale SA are joint bookrunners for the IPO.

(Reporting by Brinda Darasha; editing by Imogen Lillywhite)