Al Ansari Financial Services said Al Ansari Holding has increased the number of shares to be issued in the group’s initial public offering (IPO) retail offer in the UAE following approval from the Securities and Exchange Authority (SCA).
The offering of ordinary shares has been increased from 37,500,000 to 56,250,000 shares in response to strong demand from retail investors and the oversubscription of the UAE retail offer.
A total of 750,000,000 (750 million) shares were issued, equivalent to 10% of the Group’s issued share capital. Subsequently, the qualified investor tranche will allot 693,750,000 ordinary shares instead of 712,500,000 ordinary shares in light of the Selling Shareholder’s decision to increase the allocation to the retail investor tranche.
Based on a previously announced price range of AED1.00 ($0.272) to AED1.03 per share, the retail segment will now be worth between AED56.3 million and AED57.9 million, or 7.5 percent of the IPO total size.
All shares are existing shares, with Al Ansari Holding selling its 10% stake in the group. The Group will not receive any proceeds from the Global Offering. After the global offering, selling shareholders will continue to hold 90% of the shares.
The subscription period for new shares remains unchanged. The UAE Retail Offer closes on March 23 and the Accredited Investor Offer closes on March 24.
The final offer price will be determined through a book-building process following the close of the Accredited Investor Offer and is expected to be announced on or about March 27.
The offering and entry to the market is currently expected to be completed by April 6, subject to market conditions and relevant regulatory approvals in the UAE, including approval for listing and trading on the DFM. – trade arab news agency