Dubai Holding floats offer price range, subscription period

Dubai Holding, through its wholly owned subsidiary DHAM REIT Management (the “Fund Manager), on Tuesday announced the offer price range per unit and the start of the subscription period for the initial public offering (IPO) of Dubai Residential REIT, a Shariah-compliant income-generating closed-ended real estate investment fund under establishment and one of the largest owners and operators of residential real estate in Dubai (the “REIT”), on the Dubai Financial Market (“DFM”).

- Staff Reporter, Gulf Today

The Offer Price Range has been set at between Dhs 1.07 and Dhs 1.IO per Offer Unit (the “Offer Unit”). A total of 1,625,000,000 (one billion six hundred and twenty-five million) Units, representing 12.58 of Dubai Residential REIT's issued unit capital being offered by DHAM Investments LLC (the “Selling Unitholder”), a subsidiary of Dubai Holding, and the current sole unitholder of the REIT. The Fund Manager reserves the right to amend the size of the Offering at any time prior to the end of the subscription period in its sole discretion, subject to the applicable laws of the UAE and the approval of the SCA.

The total Offering size is expected to be between Dhs 1,739 million ($473 million) and Dhs 1,788 million ($ 487 million), implying a market capitalisation at listing of between Dhs 13.9 billion ($3.8 billion) and Dhs 14.3 billion ($3.9 billion).