Home Industry Food Lulu to raise $2.7bn ahead of possible IPO The Abu Dhabi-based hypermarket chain is realigning its capital structure before a possible listing in 2024 after delaying those plans this year by Bloomberg August 11, 2023 Image credit: Lulu International Lulu Group International, which operates one of the Middle East’s largest hypermarket chains, is raising Dhs10bn($2.72bn) to refinance debt ahead of a potential initial public offering, people familiar with the matter said. The conglomerate is borrowing the funds from Abu Dhabi Commercial Bank, Dubai Islamic Bank, Emirates NBD Bank, and Mashreq Bank, the people said, asking not to be identified discussing confidential information. The loans have an average maturity of 10 years, they said. Lulu Group’s listing plans Abu Dhabi-based Lulu is realigning its capital structure before a possible listing in 2024 after delaying those plans this year, the people said. It is working with Moelis & Co on the plans, the people said. A representative for Lulu said the funds will allow the company “to pay off existing debts, further extend our footprint with 80 new hypermarkets across the GCC, Egypt and beyond, enhance supply chain networks and e-commerce capabilities.” Lulu “is poised to capitalise on emerging opportunities and elevate its global presence to new heights with our IPO plans,” they said. Representatives for ADCB, ENBD, and Mashreq declined to comment. DIB didn’t respond to requests for comments. Lulu was valued at more than $5bn in 2020 when an investment firm backed by a member of Abu Dhabi’s royal family bought a 20 per cent stake worth just over $1bn in the group. The company operates shopping malls and other businesses including hospitality, shipping, and real estate. The firm was founded by Indian entrepreneur Yusuff Ali in the early 1990s during a years-long oil boom in the Gulf region. It had an annual revenue of about $8bn and employs more than 65,000 people in 23 countries across the Middle East, Asia, the US, and Europe, according to its website. Read: India bans rice exports, UAE follows suit: Possible impact on world food prices Tags Abu Dhabi Commercial Bank Dubai Islamic Bank Emirates NBD Bank hypermarket IPO Lulu International Moelis & Co. 0 Comments You might also like UAE’s Tabreed secures Dhs600m revolving credit facility 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