Dubai-based Parkin company, which showed its intentions to launch an initial public offering (IPO) recently, looks set to float 24.99 per cent shares on the Dubai Financial Market next month, according to an ad prospectus issued by the company on Tuesday.
The parking space operator will be the first company to launch an IPO in 2024 in Dubai. It will start subscriptions on March 5 and will continue until March 12.
As per the prospectus, the offer price range will be made public on March 5, and retail investors will get an opportunity to buy 10 per cent of the stock float and be guaranteed to receive a minimum of 2,000 shares apiece.
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“The minimum application size for the retail tranche is Dh5,000 and thereafter in increments of Dh1,000 apiece,” according to the prospectus.
Parkin will be the third entity of Dubai’s Road and Transport Authority (RTA) after Salik and Dubai Taxi Company. It operates 175,000 parking spaces across 85 locations in the city, another 4,000 or so spaces at nine MSCPs (multi-storey car parks), and about 18,000 spaces at seven developer-owned facilities.
Last year, the RTA raised $1 billion and drew orders of $50 billion for a 24.9% pet cent stake in a public share sale of its toll-road business Salik.
Dubai raised nearly $8.5 billion from five IPOs last year, fuelled by a government privatisation plan to list 10 state-linked companies to boost stock market activity.
Companies in the region raised $21.9 billion through IPOs last year, more than half the total for the wider Europe, Middle East and Africa region, Dealogic data shows.