This would result in the company floating 15 per cent of the REIT’s issued unit capital instead of the previously announced 12.5 per cent
DHAM REIT Management, a subsidiary of Dubai Holding, said on Monday that it increased the size of its initial public offering to 1.95 billion units up from 1.625 billion, due to strong demand from domestic and international investors.
This would result in the company floating 15 per cent of the REIT’s issued unit capital instead of the previously announced 12.5 per cent.
Upon listing on the Dubai Financial Market (DFM), DHAM Investments will own an 85 per cent stake in the REIT.
Based on the unchanged offer price range of Dh1.07 to Dh1.10 per Offer unit, the revised offering size is expected to be between Dh2.087 billion and Dh2.145 billion, implying a market capitalisation at listing of between Dh13.9 billion and Dh14.3 billion.
The company said on Monday that the first tranche for the UAE retail investors remains unchanged at 162.5 million units, and is open to retail investors and eligible entities holding a National Investor Number (NIN) with the DFM.
The second tranche of the institutional offering has increased from 1,462,500,000 units to 1,787,500,000 units and is open to qualified institutional investors.
Each subscriber in the first tranche will be guaranteed a minimum allocation of 2,000 units, provided that the total number of units issued under the minimum guaranteed allocation does not exceed the tranche size and remains within the limits and conditions set out in the prospectus.
Investors in both tranches can subscribe to the offering, which opened on May 13, and will close on May 20. The final offer price will be determined through a book-building process conducted in consultation with the joint global coordinators, the fund manager and the selling unit holder, and is expected to be announced on May 21.
The list is expected to take place on or around May 28.
Dubai Residential REIT intends to adopt a semi-annual dividend distribution policy, making payments in April and September of each year, starting from September 2025. The REIT expects that its first two dividend payments will be made in September 2025 and April 2026.
Citigroup Global Markets Limited, Emirates NBD Capital, and Morgan Stanley & Co. International have been appointed as joint global coordinators and joint bookrunners. Emirates NBD Bank has been appointed as the lead receiving bank. Abu Dhabi Commercial Bank, Arqaam Capital acting in conjunction with Arqaam Securities, and First Abu Dhabi Bank are acting as joint bookrunners.
Источник: Khaleej Time
Published: 19 May 2025
