Dubai, June 9, 2022 (WAM)-TECOM Group, a member of the Dubai Holding Group, today announced its intention to go public (IPO) and list common stock for trading in the Dubai Financial Market. (DFM).
TECOM is the owner, manager and operator of 10 strategic and sector-focused business districts across Dubai, contributing significantly to the rapid growth of the economy based on Dubai’s knowledge and innovation. , Equivalent to 12.5% of the outstanding equity capital of the TECOM Group. The Global Offering consists of Qualified Institutional Investors, Exemption Offers, and UAE Retail Offers.
All shares are existing shares sold by the selling shareholder and the company does not receive any revenue from the Global Offering.
Qualified institutional investors and exemption offers will be available for subscription from June 16th to 24th, 2022.
The UAE Retail Offer subscription period is scheduled for June 16-23, 2022. Admission of shares to trading on DFM is scheduled for July 5, 2022.
DHAM LLC (Dubai Holding Asset Management or Selling Shareholder) reserves the right to resize the Global Offering at any time prior to the end of the subscription period, subject to SCA approval. DHAM is a major shareholder of the TECOM Group and Dubai Holding is its ultimate holding company.
The internal Shariah supervisory board of Emirates NBD Bank PJSC and First Abu Dhabi Bank PJSC has issued a statement confirming, in their view, that the Global Offering adheres to Shariah’s principles.
The TECOM Group planned to adopt a semi-annual dividend distribution policy of paying dividends in cash after the global offering in October and April each year, subject to the approval of the Board of Directors and the General Assembly.
The company plans to pay an annual dividend of 800 million AED over the next three years (until October 2025).
A company’s ability to pay dividends depends on many factors, including the availability of distributable reserves, the company’s capital spending plans, and market conditions.
The Group is a central player in Dubai’s business hub proposals and is in a position to benefit from the recovery of Dubai’s broader commercial real estate market and the tailwind of the macro economy.
TECOM is the owner and operator of a strategically located, high-quality, resilient real estate portfolio across Dubai, offering a business-friendly regulatory system backed by value-added services. ..
We have a long-term and diverse international and regional marquee customer base. The company also has an attractive financial profile and balance sheet backed by a robust revenue-generating portfolio that provides consistent, high-quality revenue and cash flow.
The company has a robust governance framework and sustainability that goes further into the core of its operating model, along with a dynamic management team with solid track record and supportive shareholders.
We have a clear roadmap to reach our growth goals and continue to deliver strong performance over the medium term. It benefits from the support of Dubai Holding as the ultimate holding company of dedication. Dubai Holding is a major driver of economic diversification and has a reputation for excellence in Dubai as a realization of the Dubai government’s vision.
Regarding the start of the TECOM Group’s IPO process, Dubai Holding Group Chief Executive Officer Amit Kaushall said: Business growth and development. We have helped grow the innovative business ecosystem into a successful creator and have become the partner of choice for multinational companies and regional entrepreneurs.
“We believe the TECOM Group is ready to embark on a new chapter as a publicly traded company. By continuing to be the company’s ultimate holding company, we will work with the new shareholders of the TECOM Group to support our growth ambitions. , Is an important factor in achieving a knowledge economy in Dubai and the region. ”
Malek Al Malek, Chairman of the TECOM Group, said: Of these ambitions, we are contributing to the country’s knowledge economy by attracting global companies and skilled talent across six key sectors and increasing the ease of doing business.
We have succeeded in establishing a vibrant environment in which existing and future customers can evolve their growth ambitions as they evolve into the future of their global industry and workplace. ”
Abdulla Belhoul, Chief Executive Officer of the TECOM Group, said: By ensuring a seamless customer journey, we set ourselves apart and provide advanced solutions to over 7,800 customers and over 100,000 professionals.
By being at the forefront of innovation and identifying high-growth industries and future work models, we have continually expanded our asset base and established strong customer loyalty. From 2021 to the first quarter of 2022, the TECOM Group achieved major milestones, including the opening of its regional headquarters, state-of-the-art higher education campuses and R & D centers. Our track record demonstrates confidence in the company and reaffirms Dubai’s leading role as a reliable destination for companies seeking to take advantage of new opportunities.
As the TECOM Group embarks on the next chapter of growth through its IPO, it will continue to support the development of Dubai’s business ecosystem and strategic sectors, while maximizing the synergies of these ecosystems as a whole, a high-growth industry in Dubai. We will promote new opportunities in the segment. offer. ”
Selling Shareholders reserve the right, in their sole discretion, to resize the Global Offering at any time prior to the end of the subscription period, in accordance with UAE applicable law and SCA approval.
The Global Offering shall be available to the following subscribers: Individuals and other investors, and eligible employees of the Dubai Holding Group (as defined in the prospects related to UAE Retail Offers (UAE Prospectus) as part of UAE Retail Offers), and professional investors and others. Investors in many countries in the United Arab Emirates, including the United Arab Emirates. As part of Qualified Institutional Investor Offers and Exemption Offers.
The Emirates Investment Authority (EIA) reserves the right to subscribe to up to 5% of the Global Offering, and the percentage of shares purchased by the EIA will be fully allocated prior to the start of allocation to other subscribers to the Global Offering. It shall be. ..
The United Arab Emirates retail offer subscription period is scheduled for June 16-23, 2022, and the subscription period for qualified institutional investors is scheduled for June 16-24, 2022.
Completion of the Global Offering and approval (approval) of shares for listing and trading in DFM will now take place in July 2022 subject to market conditions and the approval of relevant regulatory agencies in the UAE, including approval. Will be.
Shares held by the selling shareholders after the completion of the global offering are subject to lockup, which ends 180 days after the date of enrollment, subject to certain conditions.
Details of the Global Offering are included in the UAE Retail Offers and the UAE Prospectus and Public Subscription Announcements (Public Announcements) in English.
International Offering Memorandum of Understanding for Qualified Institutional Investor Offerings and Exemption Offerings. The United Arab Emirates prospectus and public announcement have been released today, and an international memorandum of understanding will be announced shortly. The United Arab Emirates Prospectus and Initial Public Offering Memorandum are available at www.ipo.tecomgroup.ae.
Emirates NBD Capital PSC, First Abu Dhabi Bank PJSC, Goldman Sachs International, Morgan Stanley & Company International plc, UBS AG, London Branch have been appointed Co-Global Coordinator and Co-lead manager.
Emirates NBD Bank PJSC has been appointed Lead Receiving Bank. Abu Dhabi Islamic Bank PJSC, Ajiman Bank PJSC, Dubai Islamic Bank Commercial Bank PSC, Dubai Islamic Bank PJSC, Emirates Islamic Bank PJSC, First Abu Dhabi Bank PJSC, Mashlek Bank PSC, Sharja Islamic Bank PJSC have also been appointed as host banks. increase.
The internal Shariah supervisory board of Emirates NBD Bank PJSC and First Abu Dhabi Bank PJSC has issued a statement confirming, in their view, that the Global Offering adheres to Shariah’s principles. Investors cannot rely on these declarations and must perform their due diligence to ensure that the Global Offering is compliant with Shariah for their purposes.
