DUBAI, 5th July, 2022 (WAM) — TECOM Group announced that it has been successfully listed on the Dubai Financial Market (DFM) today, beginning its first day of trading under the ticker symbol “TECOM”.
TECOM Group has successfully raised approximately AED1.7 billion through an Initial Public Offering (IPO). The final offer price of the Global Offering was AED2.67 per ordinary share, and the Company has floated 625 million (625,000,000) ordinary shares, which is 12.5% of its issued share capital.
The Global Offering drew substantial demand and was oversubscribed by a little over 21 times in aggregate and the UAE Retail Offer achieved a remarkable oversubscription multiple of almost 40 times in aggregate., surpassing any IPO on the DFM to date. The IPO drew significant interest from international investors, consequently, around 30% of the Qualified Institutional Offer was allotted to them.
DHAM LLC will continue to be the majority shareholder of TECOM Group, with an 86.5% stake (or 87.5% stake together with DHAM FZ-LLC).
Malek Al Malek, Chairman of TECOM Group, rang the market opening bell at today’s official listing ceremony in the presence of Amit Kaushal, Group CEO of Dubai Holding, Abdulla Belhoul, CEO of TECOM Group, and Hamed Ali, CEO of DFM and Nasdaq Dubai as well as several other officials.
Al Malek said, “As a publicly-traded company, TECOM Group will offer investors the opportunity to benefit from a central player in Dubai’s business hub proposition and from a company that is well-positioned to take advantage of Dubai’s market opportunities and its attractive underlying macroeconomy. It will also help to further deepen Dubai’s growing capital markets.”
Helal Al Marri, Chairman of the DFM, welcomed the listing of TECOM Group, noting that this listing underlines the accelerating momentum of Dubai’s strategy to develop its financial markets in line with the leadership’s vision and to strengthen the Emirate’s position as a dynamic capital markets’ hub globally.
TECOM Group’s successful public offering, as part of the government’s growth initiative, marks the second listing on the DFM within just three months, he added.
Hamed Ali, CEO of DFM and Nasdaq Dubai, said that the listing of TECOM Group reinforces DFM’s investment opportunities diversification strategy for the benefit of its large investor base of local and international investors as well as to reinforce market depth, liquidity and trading activities. It also boosts our efforts to streamline companies’ access to DFM’s services that enable business owners to sell shares and provide an effective fund-raising platform.
He noted that “our issuers have successfully raised AED127 billion through the market to implement their growth strategies.”
The shares of TECOM Group are traded within the Real Estate Sector. No price limits have been applied on the shares during the first day of trading, as they will be applied from the second day of listing.