• Home
• /
• Business

ADDAR plans Dh1b IPO by October

ABU DHABI - The Initial Public Offerings (IPOs) worth Dh3-5 billion will hit the market by first quarter of 2005, including a jumbo public issue with a size of one billion dirham that will be offered by the end of October by Abu Dhabi-based ADDAR, a real estate company which is a subsidiary of Mubadala Development Corporation.

"We cannot confirm the date for the launch as yet since the application for the launch is in the process of getting approval with the ministry at the moment. But it will be by the end of October," said Khaldoon Khalifa Al-Mubarak, Chief Executive Officer, Mubadala Development Corporation, on the sidelines of a two-day conference on Major New Project Opportunities in Abu Dhabi organised by MEED.

The company will offer 55 per cent shares to general public for subscription while the founders will retain 45 per cent shares.

ADDAR is 40 per cent owned by Mubadala Development Corporation, while Abu Dhabi Investment Company, Abu Dhabi National Hotel, National Investor each hold 15 per cent stake. National Corporation for Tourism & Hotels has a 5 per cent stake.

ADDAR, which constructed the Al Jimi Mall in Al Ain last year, has plans to develop the real estate market in the Emirate, which has huge potential. With ambitious projects like construction of a modern Sooq under which huge old Sooq will be replaced by a new modern complex on Khalifa and Hamdan street.

The company has several projects to fill the demand gap in the housing sector.