Dubai Electricity and Water Authority PJSC (DEWA) today announces that, following approval from the UAE Securities and Commodities Authority (SCA), it has exercised its right to increase the number of shares offered in its initial public offering from 3,250,000,000 ordinary shares to 8,500,000,000 ordinary shares, which would result in a free float of 17 percent of DEWA’s share capital, with the Government of Dubai continuing to own 83 percent of DEWA’s share capital.
DEWA has also received approval from the SCA to increase the size of the tranche reserved for qualified investors (which includes the new Strategic Investors) from 5.9 percent (representing up to 2,925,000,000 shares) to up to 16.4 percent of the Company’s share capital (representing up to 8,175,000,000 shares).
Excluding the New Strategic Investors, who are locked up for between 180 and 365 days, the deal (including previously announced cornerstones) increases from 6.5 percent to 10 percent of the Company’s share capital. The size of the retail and employee tranches will remain the same.
The new offering size was determined by the Government of Dubai as the selling shareholder, following DEWA’s decision to set the offer price range per share between AED2.25 and AED2.48 per ordinary share on 24th March, 2022, providing investors with a highly attractive value proposition that reflects the Government of Dubai’s long-term confidence in DEWA’s growth trajectory.
The decision also reflected DEWA’s prioritisation of supporting aftermarket trading performance post-listing.
The subscription period for the DEWA IPO remains unchanged and will close on 2nd April, 2022 for UAE retail investors and on 5 April 2022 for qualified domestic and international institutional investors.
DEWA is expected to list on the Dubai Financial Market (DFM) on or around 12th April, 2022.
Source: Emirates News Agency