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Dubai Holding Has No Plans To Float Firm Or Its Units -CEO

Dubai Holding Has No Plans To Float Firm Or Its Units -CEO

Dubai Holding also has no plans to raise cash at the parent level as it seeks to reduce its debts, its chief executive said.

Dubai Holding, the investment vehicle of the emirate’ s ruler, has no plans to list itself or any of its subsidiaries on the stock market, its chief executive said on Tuesday.

Dubai Financial Market, the emirate’s main bourse, attracted a flurry of flotations late last year, most notably the Dhs5.8 billion ($1.58 billion) listing of Emaar Malls Group, as the initial public offer industry returned to life following a five-year hiatus.

But Dubai Holding and its subsidiaries, which include hotel group Jumeirah and real state developer Dubai Properties, have no plans at present to join them.

“Listing or not listing is a strategic choice made by the shareholders. There is no shortage of cash or projects,” Ahmad Bin Byat, chief executive of Dubai Holding, told reporters on the sidelines of a government summit in the emirate.

Dubai Holding, owned by Sheikh Mohammed bin Rashid al-Maktoum, also has no plans to raise cash at the parent level as it seeks to reduce its debts, but its subsidiaries may do so for operational purposes, Byat said.

TECOM Investments, a Dubai Holding unit, said last month that it had signed a Dhs4 billion loan deal.

A number of Dubai-based firms have outlined plans to go public, with Emaar Properties – parent firm of Emaar Malls – studying plans to list its hospitality unit and family-owned conglomerate Al Habtoor Group saying it was once more eyeing a potential float.

Yet the performance of recent Dubai listings has been mixed – shares in Dubai Parks and Resorts, which is building a series of theme parks in the emirate, are trading at a 21 per cent discount to their IPO price.

Amanat, a healthcare and education provider, is down 11 per cent on its offer price. Retail and restaurant start-up Marka has fared better, gaining 37 per cent since its September listing.

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