A number of oil companies are planning to cash in on rising fuel prices by floating on the London Stock Exchange (LSE) next year, according to a report in the Sunday Times.
The deals will value the companies at more than £1.2 billion combined, generating much needed cash for the private equity firms that have backed some of the companies so far.
At $76 a barrel, the price of oil has more than doubled since its February low of $33 a barrel.
UK-based Fairfield Energy is a North Sea oil explorer backed by buyout firm Warburg Pincus. It is expected to float at a value of almost £363 million.
Kuwait Energy Corporation, which has operations in the Ukraine, Egypt and Pakistan among others, could be worth $200 million (£121 million).
UK-based Caithness Petroleum, which has operations in the North Sea, Morocco and America also recently launched a fundraising that valued it at $600 million (£364 million). The firm is understood to be in the process of appointing advisers for a float.
Exillon Energy is a Siberian oil drilling firm headquartered in Dubai. It has hired investment bank Merrill Lynch to co-ordinate a $500 million (£303 million) float.
Finally, Canamens, a Kazakhstan-focused oil explorer based in London, is also understood to be considering an offering next year. It is backed by Goldman Sachs and Sector Asset Management, a Norwegian investment firm.
In addition to the oil firms, regional UK airline Flybe is also said to be preparing to list on the LSE.
The Exeter-based company, which is 69 per cent owned by the Walker Trust, could be valued at around £300 million.
The number and average size of LSE flotations fell this year due to volatile market conditions but the IPO pipeline has picked up across Europe as markets begin to stabilise and the economic outlook improves.
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