Tristar Transport withdraws IPO due to poor response

Dubai-based Tristar Transport, a logistics company, on Wednesday said it has cancelled its initial public offering (IPO) plan due to poor response from the investors.

The company said in a statement that its board and existing shareholders have decided to withdraw its planned IPO on the Dubai Financial Market as existing shareholders’ expectations were not met.

“The board and existing shareholders believe that greater returns can be realised executing Tristar’s current growth strategy under the established shareholder structure,” the company said in a statement on Wednesday.

The company had launched its share sale on April 4 and was planned to close on April 15.

The company had expected to raise between Dh438 million and Dh537 million as part of its primary offering and another Dh90 to Dh240 million from a secondary offering.

Bank of America Securities and Citigroup were appointed coordinators and joint bookrunners on the deal. — waheedabbas@khaleejtimes.com