Dubai Investments seeks to raise $543m from first UAE IPO this year
Dubai Investments , a Dubai-listed conglomerate, is seeking to raise Dh2 billion ($543 million) from the 20 per cent sale of its subsidiary DIP Holding in the UAE’s first initial public offering this year. DIP Holding is selling 1.74 billion shares in the Dh1.10 to Dh1.15 per share range, implying a market capitalisation at listing of between Dh9.5 billion and Dh10 billion, the company said in…
Dubai Investments, a Dubai-listed conglomerate, plans to raise Dh2 billion ($543 million) through the 20% sale of its subsidiary DIP Holding in the UAE's inaugural initial public offering this year. DIP Holding will offer 1.74 billion shares within a price range of Dh1.10 to Dh1.15 per share, resulting in a market capitalization between Dh9.5 billion and Dh10 billion, according to a Dubai Financial Market statement.
Share subscriptions began on Tuesday and will continue until November 3. The company will determine the final pricing via a book-building process on November 4.
Dubai Investments retains the option to adjust the offering size before the subscription period concludes. DIP Holding, which manages the Dubai Investments Park mixed-use development, anticipates its shares to begin trading on the Dubai Financial Market (DFM) on November 11.
This IPO marks the first in the UAE this year, breaking the recent lull in the country's IPO market. The region's IPO activity slowed last year due to reduced investor confidence stemming from oil price volatility and geopolitical tensions. UAE companies raised a combined total of $1.1 billion through three IPOs in 2025, as per Dealogic data.
The DIP Holding offering presents an opportunity to gauge investor appetite for new listings, especially considering the weak post-listing performance of some companies in recent years.
DIP Holding aims to distribute dividends semi-annually. The company projects annualized cash dividends of Dh700 million, Dh725 million, and Dh750 million for the fiscal years ending December 2026, 2027, and 2028, respectively. The inaugural post-IPO dividend distribution of Dh350 million, covering the second half of 2026, is expected in April 2027.
Shareholders will receive compensation for the full H2 2026 period, not just the period following their IPO admission, the company stated. Based on the projected annual dividend of Dh725 million for 2027, the IPO price range translates to dividend yields of approximately 7.27% at the higher end and 7.60% at the lower end.
Written by urgent.news from The National UAE's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
