Emaar plans to delist construction unit after board approves $3.3 billion buyout

Dubai's Emaar Properties has announced plans to delist its construction unit, Emaar Development, from the UAE's stock exchange following board approval of a $3.3 billion buyout. The company's board voted to offer Dh15 per share for the shares it does not already own in Emaar Development, totaling more than Dh11.9 billion. Emaar Development traded at Dh14.52 on Thursday, down 0.4% from the previous close.

Emaar Properties, known for constructing the world's tallest building, the Burj Khalifa, stated that the buyout is motivated by strategic considerations. The acquisition would streamline the group's operations and allow it to manage the domestic development business under a single capital allocation framework. Emaar Development reported a 8% increase in third-quarter profit to Dh3.5 billion, with revenue rising 14% to Dh8.8 billion.

UAE property sales for the first nine months were Dh26.2 billion, while international development sales were Dh8.5 billion. Emaar Properties itself saw a 5.6% annual increase in third-quarter profit, with revenue backlog and new project launches contributing to the earnings despite global uncertainties.