Mubadala Investment Company has raised Dh3.15 billion by selling a 7.55% stake in the UAE telecom operator Du through a secondary public offering, according to regulatory filings. The shares were sold by Mamoura Diversified Global Holding, a Mubadala unit.
The deal involved 342.084 million existing shares priced at Dh9.20 each, which is at the lower end of the marketed range of Dh9.00 to Dh9.90.
Demand outstripped supply, with the offering oversubscribed multiple times. The retail tranche, set at 5% of the shares, guaranteed a minimum allocation of 500 shares per retail investor. The remaining 95% was allotted to institutional investors, both local and international.
Post-sale, Du’s free float will increase to about 27.7%, which Du says will improve liquidity and help broaden its investor base. Mubadala will retain just over 2% of Du shares after the transaction.
The offering forms part of a wider trend in the Gulf region of major secondary share sales, as state-linked investors and sovereign funds tap strong capital markets demand.
