UAE Business: DEWA fixes IPO price; offering size to hit $2.29bn – Gulf Digital News

UAE Business: DEWA fixes IPO price; offering size to hit $2.29bn – Gulf Digital News

Dubai Electricity and Water Authority (DEWA) has set the price range for its Initial Public Offering at between AED2.25 and AED2.48 per share. The total offering size will be between AED7.31 billion ($1.99 billion) and AED8.06 billion ($2.19 billion), the company said.

The announcement implies the company’s market capitalisation at listing of between AED112.50 billion ($30.63 billion) and AED124.00 billion ($33.76 billion), which would make DEWA the largest company on the Dubai Financial Market (DFM) by market capitalisation.

A total of 3.25 billion shares, equivalent to 6.5% of DEWA’s existing shares, will be offered, with the selling shareholder reserving the right to increase the size of the offering at any time prior to the end of the subscription period at its sole discretion, subject to applicable laws and approval of the Securities & Commodities Authority (SCA), said a statement.

All shares to be offered shall represent the sale of existing shares held by the Government of Dubai.

Other highlights of the issue:

• Emirates Investment Authority, ADQ, UAE Strategic Investment Fund, Multiply Group, Alpha Dhabi Partners and Investment Holdings to become cornerstone investors in the IPO with a total commitment of up to AED4.7 billion ($1.3 billion).

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