Dubai Electricity and Water Authority PJSC (DEWA) has announced it will list 6.5 percent of its existing shares as part of an initial public offering (IPO) on the Dubai Financial Market (DFM), in line with new strategic directions to develop the emirate's financial market and as part of the Dubai Markets Supervisory Committee's strategy, Emirates News Agency (WAM) reported Tuesday.
"Today represents a significant moment in the history of DEWA and is an important step towards achieving our vision for capital markets in Dubai,” said Deputy Ruler of Dubai, Deputy Prime Minister and Minister of Finance Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum.
“As a central component of the Dubai economy, DEWA has a critical role to play in supporting the future growth of the Emirate and its transition to a net zero economy by 2050. For DEWA’s potential new shareholders, this offering is an opportunity to be part of the future of Dubai and have a stake in an organization that has an unparalleled track record of technological innovation and operational excellence,” WAM quoted him as saying.
Sheikh Maktoum asserted that this step comes in implementation of the directives of Sheikh Mohammed bin Rashid Al Maktoum, Vice President, Prime Minister and Ruler of Dubai, as part of the Dubai Markets Supervisory Committee's strategy to increase the size of the Emirate's stock market to AED3 trillion in the coming period, indicating that DEWA's landmark listing will mark a turning point for the Emirate’s capital market and contribute to ushering in a new phase of enhancements of its strong performance.
The IPO will include a total of 3.25 billion shares, equivalent to 6.5% of DEWA’s existing shares, with the Selling Shareholder reserving the right to increase the size of the Offering at any time before pricing of the offering, subject to applicable laws and approval of SCA.
The completion of the offering and admission of shares to trading are expected to take place in April 2022, with the offering to be made available to individual and other investors as part of the UAE Retail Offering as well as to professional investors outside the United States of America, including the UAE, as part of the Qualified Investor Offering.
Saeed Mohammed Al Tayer, Managing Director and CEO of DEWA, said: “DEWA has a world-class governance system and continuous record of good governance across all its operations.”
“With the highest standards of efficiency, quality, and availability, DEWA is ready to meet the increasing demand for electricity and water in the Emirate, as the population is expected to grow from around 3.5 million people today to 5.8 million people by 2040,” he added.
