TECOM Group to list its 12.5% stake on Dubai Financial Market

By Shilpa Annie Joseph, Official Reporter
  • Follow author on
DFM launches ARENA
Rep. Image

TECOM Group, a member of the Dubai Holding group, has revealed its intentions to proceed with an Initial Public Offering (IPO) and to list its ordinary shares for trading on the Dubai Financial Market (DFM).

TECOM is the owner, manager, and operator of 10 strategic, sector-focused business districts across Dubai and a major contributor to the rapid growth of Dubai’s knowledge and innovation-based economy.

The company stated that “625 million ordinary shares will be made available in the Global Offering, representing 12.5 percent of TECOM Group’s issued share capital.”

The Global Offering comprises the Qualified Institutional Offering, the Exempt Offer, and the UAE Retail Offer.

Commenting on the launch of the TECOM Group IPO process, Mr. Amit Kaushal, Dubai Holding Group’s CEO said that, “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.”

Malek Al Malek
Malek Al Malek

“Our Company has succeeded in establishing a vibrant environment that enables existing and prospective customers to amplify their growth ambitions while evolving at pace with global industries and the future of the workplace. With our intention to list on DFM we are expanding our contribution to Dubai’s financial market and bolstering our vision to further unlock the Emirate’s economic and business growth potential. The IPO offers investors a unique opportunity to be part owners of a company that is benefiting from Dubai’s attractive underlying macroeconomic, industry, and business dynamics.”

Emirates NBD Capital, First Abu Dhabi Bank, Goldman Sachs International, Morgan Stanley & Co. International plc and UBS AG, London Branch have been appointed as Joint Global Coordinators and Joint Bookrunners.

“As TECOM Group embarks on its next chapter of growth through the IPO, we intend to continue to support the development of business ecosystems and strategic sectors in Dubai, while maximizing synergies across these ecosystems and driving new opportunities in the high-growth industry segments Dubai has to offer,” commented Mr. Abdulla Belhoul, CEO of TECOM Group.

The price range for the listing will be announced on June 16, the same day when the IPO starts. The subscription period for the first tranche of retail investors and the third tranche will run from June 16 to June 23.

“The subscription period for the second tranche of qualified institutional investors will run from June 16 to June 24,” as per the statement.

Related: DIFC strengthens Dubai’s status as preferred global financial & innovation hub