A Salik toll gate is seen on Al Garhoud Bridge in Dubai February 4, 2012. Launched in July 2007, the electronic toll collection system currently has four electronic gates in Dubai. REUTERS/Jumana El Heloueh (UNITED ARAB EMIRATES – Tags: CITY SPACE)
Sign up now for FREE unlimited access to Reuters.com
DUBAI, Sept 13 (Reuters) – Dubai-based toll operator Salik priced its IPO at 2 dirhams per share, valuing the issue at around 3 billion dirhams ($817 million), Dubai-based daily Gulf News on Tuesday said.
Salik is the third state-owned company to seek a listing in Dubai this year in a program aimed at attracting investors to the domestic stock exchange.
Cornerstone investors UAE Strategic Investment Fund, Dubai Holding, Shamal Holding and Abu Dhabi Pension Fund have pledged around 606 million dirhams, according to the report.
Sign up now for FREE unlimited access to Reuters.com
Salik’s asking price was revealed through advertisements in local media and was set following investor engagement, which resulted in significant strong initial demand cues from both local and international investors, the newspaper added.
Dubai’s deputy ruler, Sheikh Maktoum Bin Mohammed, announced plans in November to convert Salik, then a division of the Roads and Transport Authority (RTA), into a public company. The listing of Salik and nine other state-related companies should boost stock market activity. Continue reading
Salik, which was founded in 2007 and has 3.6 million vehicles registered in the toll system, sells 1.5 billion shares.
Salik had a series of investor meetings ahead of the IPO, which confirmed investors’ appetite for the offering and expectations, its chief executive officer Ibrahim Al Haddad said in an interview with Reuters last week. Continue reading
($1 = 3.6727 UAE Dirham)
Sign up now for FREE unlimited access to Reuters.com
Reporting by Hadeel Al Sayegh; Writing by Enas Alashray; Edited by Rashmi Aich
Our standards: The Thomson Reuters Trust Principles.
Comments are closed.