Dubai Taxi Company Announces IPO Price Range, Sees Market Capitalization of $1.2bn
Dubai Taxi Company (DTC) has disclosed the price range for its initial public offering (IPO), setting it between Dh1.80 and Dh1.85 per share.
Offer Price Range Revealed for DTC Shares
This implies a market capitalization of Dh4.5 billion to Dh4.6 billion ($1.2 billion) at the time of listing. The IPO encompasses 624,750,000 shares, equivalent to 24.99% of DTC's total issued share capital, all offered as existing shares held by the Department of Finance for the Government of Dubai.
Subscription Period and Timeline
Starting today, regular investors in the UAE will have until November 28 to submit their IPO subscriptions, while qualified investors have until November 29. At the end of the book-building process on November 30, we will disclose the final offer pricing. Assuming all necessary UAE regulatory clearances and market conditions hold, the offering and admission are anticipated to be finalized by December 7.
Mansoor R. Alfalasi, CEO of DTC, expressed delight in opening the subscription period, noting strong interest since the IPO announcement. He highlighted DTC's compelling investment story, emphasizing robust market fundamentals and growth opportunities driven by a fleet of over 7,000 vehicles.
Advisory and Coordination
Rothschild & Co. Middle East Limited, Emirates NBD Capital PSC, and Citigroup Worldwide Markets Limited are the joint worldwide coordinators and bookrunners. The organization providing impartial financial guidance is Rothschild & Co. Middle East Limited.
EFG Hermes UAE Limited, alongside EFG-Hermes UAE LLC and First Abu Dhabi Bank PJSC, serves as the joint bookrunners. Several other banks, including Abu Dhabi Islamic Bank, Ajman Bank, Dubai Islamic Bank, and Emirates NBD Bank PJSC, led by the group, have been appointed as receiving banks.
The IPO signals an exciting phase for DTC, with its IPO story combining robust market fundamentals and a growth-oriented fleet strategy.