Dubai Salik IPO: How long does it take to set up a new toll gate?

Dubai Salik IPO: How long does it take to set up a new toll gate?

Here is how much it would cost if approved after an extensive traffic study

Published: Thu 8 Sep 2022, 9:34 AM

Dubai’s exclusive toll gate operator Salik Company has ambitious additional growth plans and is well-positioned to benefit from additional growth levers, including new toll gates.

The company announced in its “Intention to Float” that it will continually invest in its operations to seamlessly integrate new gates into its existing portfolio, allowing the Company to immediately bring them online once construction is complete.

A new Salik gate typically takes approximately 9 to 10 months from conception to become operational.

The company did not disclose when the new gates would be rolled out. However, it revealed that Roads and Transport Authority, Dubai, and the Salik Company conduct an extensive study prior to rolling out new toll gates to ensure smooth traffic flow across the emirate’s main roads.

Motorists are informed around 3 to 6 months before the gate becomes operational.

Once the study is complete, the Dubai Executive Council takes a final call on the rollout of the new gate, which usually costs between Dh20-30 million, depending on the number of lanes.

Mattar Al Tayer, chairman of Salik, has said that any increase in the number of gates or