IPOs in UAE: 7 public sector companies residents can buy shares in

Several Dubai, Abu Dhabi entities to launch IPOs in coming months



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File photo
by

Waheed Abbas

Published: Thu 16 Jun 2022, 3:22 PM

Last updated: Fri 17 Jun 2022, 12:29 PM

UAE residents and investors can buy shares of a number of government and semi-government entities that have been listed on local bourses.

In the coming months, more public sector companies’ shares will be sold to residents and investors.

Since government entities enjoy sovereign backing, retail investors tend to have more trust and confidence in such companies.

Dubai government announced that it will launch initial public offerings (IPOs) of 10 entities and list them on the Dubai Financial Market to improve liquidity. While 13 entities – both public and private – are expected to list their shares on the Abu Dhabi bourse.

Below is the list of government-backed entities which UAE residents and investors can buy shares of now and in the near future:

  • Dubai Electricity and Water Authority (Dewa) was Dubai's first entity to sell its shares this year. The UAE residents can buy Dewa shares through Dubai Financial Market. The utility services provider had set the final offer price of Dh2.48 per share during its IPO.
  • Tecom Group, a member of the Dubai Holding Group, set the price range for its initial public offering (IPO) between Dh2.46 and Dh2.67 per share. UAE residents can subscribe to Tecom shares till June 23 and the final per share price will be announced on June 27.
  • Salik: The Dubai government will also sell shares of the road toll system Salik in the coming months as part of its earlier announcement to float 10 entities on the local bourse. As a public joint stock company, Salik’s existing toll gates in Dubai can be removed or modified and new toll gates can also be added after the approval of authorities.
  • Adnoc Drilling, a subsidiary of Abu Dhabi National Oil Company (Adnoc), had raised $1.1 billion (Dh4 billion) through its IPO last year. Its shares opened at Dh3.71 on debut.
  • Borouge, also an Adnoc-backed petrochemical firm, set the price of its IPO at Dh2.45 per share. It had raised more than $2 billion through the IPO. Residents can buy shares of the Abu Dhabi-headquartered company through Abu Dhabi Securities Exchange.
  • Fertiglobe, also an Adnoc-backed company, had listed its shares on the Abu Dhabi bourse. Its shares were priced at Dh2.55 in the IPO.
  • AD Ports also made a debut on the Abu Dhabi Securities Exchange following a Dh4 billion capital raise from a primary issuance. Its stock had opened at Dh3.5 per share on the first trading trade. On Thursday, it was trading at Dh5.03 per share.

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