Damac, the luxury property developer, is to list shares on the Dubai Financial Market in a major boost for UAE stock markets. The listing will put Damac in the top 10 of UAE listed companies, with a market capitalisation of about US$3.5 billion, according to The National.
Damac announced that it was offering investors the opportunity to convert its global depository receipts (GDRs), currently listed on the London Stock Exchange, into ordinary equity and list them on the Dubai market. The move sparked a 5.9% jump in the value of the London stock, to nearly $16.05 per GDR. They were floated in December in London at $12.25 each.
Hussain Sajwani, the founder and executive chairman of Damac, will continue to own about 85 per cent of the company. “Those investors who choose not to participate in the offer will continue to hold their GDRs, which will remain traded on the LSE. However, the board of Damac and I strongly encourage eligible holders to accept the offer by tendering all of their GDRs in exchange for Damac Shares. We now look forward to joining other prominent Dubai companies on the DFM as we continue to work hard to create value for our investors.”. GDR holders have until September 2 to decide whether to convert their holdings to DFM listed equity. They will be offered 23.0769231 Damac shares per GDR. The offer is conditional on the Dubai market allowing the conversion to go ahead.
Damac announced that it was offering investors the opportunity to convert its global depository receipts (GDRs), currently listed on the London Stock Exchange, into ordinary equity and list them on the Dubai market. The move sparked a 5.9% jump in the value of the London stock, to nearly $16.05 per GDR. They were floated in December in London at $12.25 each.
Hussain Sajwani, the founder and executive chairman of Damac, will continue to own about 85 per cent of the company. “Those investors who choose not to participate in the offer will continue to hold their GDRs, which will remain traded on the LSE. However, the board of Damac and I strongly encourage eligible holders to accept the offer by tendering all of their GDRs in exchange for Damac Shares. We now look forward to joining other prominent Dubai companies on the DFM as we continue to work hard to create value for our investors.”. GDR holders have until September 2 to decide whether to convert their holdings to DFM listed equity. They will be offered 23.0769231 Damac shares per GDR. The offer is conditional on the Dubai market allowing the conversion to go ahead.
Source:
Mubasher
