Dubai’s Union Properties denies reports of merger

Dubai-based Union Properties on Monday denied media reports that it plans to merge with another developer.

In a bourse statement, the company said “it is currently not considering any merger”.

“In the event that such merger exist, the company’s management will follow the procedures prescribed by the laws, regulations and the disclosure and transparency rules”, it added.

The statement came after Arabic media indicated Union was in merger talks with Dubai rival Deyaar.

FFA Private Bank Dubai’s head of financial markets, Mary Salim, told Al Arabiya in an interview on Sunday that investors had indicated the merger was on the cards.

Union and Deyaar were previously expected to merge in 2009 but the plans were scuppered by the financial crisis and Dubai property market crash.

The developer said separately on Monday that it had handed over the Dhs450m ($122m) OIA Residences in Dubai Motor City, its master-planned community.

The building spans 269 units over five floors and forms part of a new $2.18bn plan for the community unveiled last September.

This includes 11,500 residential units, 3,000 serviced apartments, 3,500 hotel rooms, 46,000sqm of retail space and 300,000sqm of office space.

Read: Dubai’s Union Properties announces new mall, hotels as part of $2bn MotorCity project

Deyaar said on Sunday the Afnan and Dania districts in its Midtown development had reached the halfway point.

Read: Dubai’s Deyaar says Afnan, Dania districts at Midtown project now 50% complete