Yahoo! News Business Online - Reach Energy Targets To Raise RM750 Million From IPO

Malaysia’s Reach Energy Bhd has attracted investors including Norway’s US$890 billion (RM2.82 trillion) sovereign wealth fund in an initial public offering (IPO) to fund its acquisitions of oil and gas fields.

Norges Bank Investment Management, the world’s largest sovereign wealth fund, is among cornerstone buyers in the RM750 million IPO of Reach Energy, managing director Shahul Hamid Mohd Ismail said in an interview.

State-run funds Koperasi Permodalan Felda Malaysia Bhd and Lembaga Tabung Haji are also buying stakes in the so-called special-purpose acquisition company, Shahul said.

Rising energy demand is spurring companies such as Reach Energy to acquire and develop smaller oil and gas fields ignored by their larger international counterparts.

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1. Reach Energy Targets To Raise RM750 Million From IPO