Dubai Taxi Company (DTC) has announced a 2% increase in the number of shares offered in the UAE Retail Offer of its initial public offering (IPO) in response to significant oversubscription of the UAE Retail Offer.
Following the approval of the Securities and Exchange Authority (SCA), the UAE Retail Offer has been increased to 74,970,000 ordinary shares from 62,475,000 ordinary shares. Based on the previously announced price range of AED1.80 ($0.49) and AED1.85 per share, the size of the Retail Tranche will now be between AED135 million and AED139 million, representing a total of 12% of the Offer Shares, compared to 10% previously announced.
The Offering size remains unchanged at 624,750,000 ordinary shares, which represents 24.99% of the company’s total issued share capital. Following the increased allocation to the UAE Retail Offer, the Qualified Investor Tranche will be allocated 549,780,000 ordinary shares, instead of 562,275,000 ordinary shares, representing 88% of the Offer Shares, compared to 90% previously announced.
The subscription period for the Offering remains unchanged, closing on November 28 2023 for UAE Retail Investors and November 29 for Qualified Investors. The completion of the Offering and Admission is currently expected to take place on December 7, 2023, subject to market conditions and obtaining relevant regulatory approvals in the UAE, including approval of Admission to listing and trading on the DFM.
Rothschild & Co Middle East Limited has been appointed as the Independent Financial Advisor.
Citigroup Global Markets Limited, Emirates NBD Capital PSC and Merrill Lynch International have been appointed as Joint Global Coordinators and Joint Bookrunners.
EFG-Hermes UAE Limited (acting in conjunction with EFG Hermes UAE LLC) and First Abu Dhabi Bank PJSC have been appointed as Joint Bookrunners.
Lead Receiving Bank
Emirates NBD Bank PJSC has been appointed as the Lead Receiving Bank. Abu Dhabi Islamic Bank PJSC, Ajman Bank, Commercial Bank of Dubai, Dubai Islamic Bank, Emirates Islamic Bank, First Abu Dhabi Bank PJSC and Mashreq Bank have also been appointed as Receiving Banks.
The Internal Sharia Supervision Committee of Emirates NBD Bank PJSC has issued pronouncements confirming that, in its view, the Offering is compliant with Shariah principles. Investors should undertake their own due diligence to ensure that the Offering is Shariah compliant for their own purposes.--TradeArabia News Service