Following the announcement on 31 August 2014 of its intention to float, Emaar Malls Group LLC (“EMG” or the “Company”), the leading owner and operator of shopping malls in Dubai, including The Dubai Mall, today announces the price range for the initial public offering (the “IPO” or the “Offering”) of its ordinary shares and its publication of the Prospectus for the Offer.
- The price range for the Offering has been set at between AED 2.50 and AED 2.90 per share.
- At the mid-point of the price range, EMG’s market capitalisation at admission would be approximately AED 35.1billion ($9.6 billion).
- The number of shares to be included in the Offer will be 2,000,000,000, representing approximately 15.4% of the share capital.
- Offer to be made available to individual investors (anticipated to be 30% of the Offering, subject to demand) as well as qualified institutional investors (anticipated to be 70% of the Offering, subject to demand). Existing Emaar Properties shareholders as at 10 September 2014 will have priority allocation to 10% of the Offer. Additionally, the Emirates Investment Authority is also given preferential allocation for 5% of the shares offered for sale.
- The subscription period for both the Individual Tranche and the Qualified Institutional Tranche will commence today with the publication of the Prospectus. The subscription period for the Individual Tranche will close on 24 September 2014; the subscription period for the Qualified Institutional Tranche will close on 26 September 2014
- The announcement of final pricing for the Offer is expected to occur on 29 September 2014.<//li>
- The Company will publish on 1 October 2014 the management estimates of the balance sheet (reflecting the opening financial position) as at 30 September 2014 for Emaar Malls Group PJSC. The Company will also publish on 31 October 2014 reviewed financial statements as at and for the 9 month period ending 30 September 2014, which will have been reviewed by its auditors.<//li>
- Admission is expected to occur and unconditional dealings in the shares on DFM are expected to commence on 2 October 2014 under the symbol “EMRMLS”.
The final sale price will be determined in accordance with the book-building process and individal investors will be allocated shares at the same price as qualified investors.
H.E. Mohamed Alabbar, Chairman of Emaar Malls Group, said: “Today is a milestone for EMG as both institutional and individual investors can now apply for shares and participate in the future success of the business. It has taken hard work from everyone involved at EMG to get to this point, and I would like to thank all of our employees for their dedication.”
“EMG has an excellent track record and we believe that our iconic assets, strong parent, experienced management team and the attractive consumer market in Dubai, make us well positioned to deliver further growth.”
“Additionally, this IPO represents a significant step in the further development of the UAE capital markets with shares in EMG being offered to both individual and institutional investors. EMG is proud to be at the forefront of this innovation.”
Subscription for Individual investors
Individual investors who wish to subscribe to the IPO need to ensure that they have a National Investor Number (NIN) registered with DFM and a bank account .
There are three ways Individual investors can subscribe to the Emaar Malls IPO:
1. Online through the DFM eIPO platform using an active iVESTOR card with sufficient funds
2. In person at branches of the Receiving Banks
3. Electronic investment through Emirates NBD ATMs (for Emirates NBD customers only)
Receiving Banks, where subscription applications can be submitted, are: National Bank of Abu Dhabi; Emirates NBD; Mashreq Bank; Dubai Islamic Bank; First Gulf Bank; Finance House; Union National Bank; and Emirates Islamic Bank.
The minimum subscription in the shares offered for sale for the Individual Tranche is set at AED 10,000, with any additional subscription to be made in increments of at least AED 1,000.
No maximum subscription in the shares offered for sale has been set. However, the Articles of Association of the Company prohibit any shareholder, other than the Founders, from holding more than 5% of the shares in the Company.
Institutional investors that are not clients of the Joint Global Coordinators or Joint Bookrunners set out below will have to subscribe by going to certain branches of Emirates NBD and NBAD and will be required to pre-fund subscriptions.
Details of the offer of sale of shares in the public subscription are also available on the following www.emaar.com; or please call 800 EMG IPO (800 364 476) for further information.
Merrill Lynch International (“BofA Merrill Lynch”), J.P. Morgan Securities plc (“J.P.Morgan”) and Morgan Stanley & Co. International plc (“Morgan Stanley”) are the Joint Global Coordinators for the Offering. BofA Merrill Lynch, J.P.Morgan, Morgan Stanley, EFG Hermes UAE Limited (“EFG Hermes”), Emirates Financial Services PSC (“EFS”), HSBC Bank Middle East Limited (“HSBC”) and National Bank of Abu Dhabi PJSC (“NBAD”) are the Joint Bookrunners.
Rothschild is acting as financial advisor on the Offering.
Emirates NBD Bank PJSC and National Bank of Abu Dhabi are the Lead Receiving Banks.