Home UAE Dubai Tecom Group to list 12.5% of shares on Dubai Financial Market The company expects to pay a dividend amount of Dhs800m per annum over the next three years by Zainab Mansoor June 9, 2022 Dubai’s Tecom Group, a member of the Dubai Holding group, has announced its intent to proceed with an initial public offering (IPO) and to list its ordinary shares for trading on the Dubai Financial Market (DFM). Tecom Group, the owner, manager and operator of 10 business districts across Dubai, will float 625,000,000 ordinary shares, representing 12.5 per cent of group’s issued share capital. .@TECOMGroupDubai announces its intention to proceed with an initial public offering & to list its ordinary shares on @DFMalerts with 625 million ordinary shares (the “Shares”) will be made available in the Global Offering, representing 12.5% of TECOM Group’s issued share capital pic.twitter.com/hCy6Zgdtbl — Dubai Media Office (@DXBMediaOffice) June 9, 2022 The global offering shall be made available to individual and other investors and to Dubai Holding Group eligible employees as part of the UAE retail offer; and to professional investors and other investors in a number of countries outside the US, including in the UAE, as part of the qualified institutional offering and the exempt offer. The qualified institutional offering and the exempt offer subscription period is expected to run from June 16 until June 24, 2022, while the retail offer subscription period will run from June 16-23. Anticipated date for admission of shares on the DFM is July 5. The #UAE Retail Offer subscription period is expected to run from 16 June 2022 to 23 June 2022. Admission of shares to trading on the @DFMalerts is anticipated on 5 July 2022.https://t.co/Y3W8DZaT7a — Dubai Media Office (@DXBMediaOffice) June 9, 2022 The selling shareholder reserves the right to amend the size of the offering at any time prior to the end of the subscription period, subject to the applicable laws of the UAE and the approval of the Securities and Commodities Authority. Tecom Group intends to adopt a semi-annual dividend distribution policy to pay dividends in cash after the offering in October and April of each year, subject to requisite approvals. The company expects to pay a dividend amount of Dhs800m per annum over the next three years (through to October 2025), a statement said. Emirates NBD Capital, First Abu Dhabi Bank, Goldman Sachs International, Morgan Stanley & Co. International and UBS, London Branch have been appointed as joint global coordinators and joint bookrunners. Meanwhile, Emirates NBD Bank has been appointed as the lead receiving bank. Abu Dhabi Islamic Bank, Ajman Bank, Commercial Bank of Dubai, Dubai Islamic Bank, Emirates Islamic Bank, First Abu Dhabi Bank, Mashreq Bank, and Sharjah Islamic Bank, have also been appointed as receiving banks. Amit Kaushal, Dubai Holding group chief executive officer, said: “We believe Tecom Group is ready to embark on a new chapter as a publicly listed company. By remaining the ultimate holding company of the Company, we will remain fully committed to working alongside TECOM Group’s new shareholders to support its growth ambitions and further bolster its role as a key enabler of Dubai and the region’s knowledge-based economy.” This is the second listing on DFM in 2022, following utility Dubai Electricity & Water Authority (DEWA), which raised $6.1bn in the world’s second-biggest initial public offering this year. The IPO valued DEWA at $33.8bn. Read: Dubai utility surges after pulling off year’s second-biggest IPO Last year, Dubai announced the listing of 10 government and state-owned companies on the DFM as part of accelerating new listings in various sectors including energy, logistics and retail. Read: Dubai announces listing of 10 govt, state-owned companies on DFM IPOs in the region have raised $13.4bn in the first five months of the year, already eclipsing the amount raised in any other first half, data compiled by Bloomberg show. With inputs from Bloomberg Tags Dubai Financial Market investors IPO shares Tecom Group 0 Comments You might also like Institutional investors were hungry for Dubai, Abu Dhabi Stocks in 2023 PureHealth’s IPO attracts Dhs265bn in orders Saudi Arabia’s MBC Group gets $14.5bn orders for IPO UAE’s Purehealth seeks to raise Dhs3.62bn from IPO