Oman’s Phoenix Power, which owns and operates Sur Independent Power Project (IPP), plans to launch an initial public offering (IPO) on 10 May.

It will remain open until 8 June.

The company will float 35 per cent or 512 million shares, according to Oman’s utility sector regulations. The offer price is RO0.110 a share.

Currently, Axia Power, part of Japan’s Marubeni, owns 50 per cent of shares. Japan’s Chubu Electric owns 30 per cent, Qatar Electricity & Water Company owns 15 per cent and Multitech, part of the local Bahwan Group, owns 5 per cent.

At 2000MW, the Sur IPP is Oman’s largest power plant. It came online in December 2014.

A consortium led by Marubeni signed a 15-year power purchase agreement (PPA) with Oman Power & Water Procurement Company (OPWP) to develop the plant. This may be extended.

The financing included $1.24bn debt, of which $697m has been provided by Japan Bank for International Cooperation (Jbic) and $547m in a commercial debt tranche.

The financial adviser is Bank Muscat Investment Banking, with five other local and regional banks acting as collectors. The legal adviser is local Al-Busaidy, Mansoor Jamal & Co.