The UAE’s Parkin, the public joint stock company tasked to operate and manage public parking spaces in the emirate, has set a price range of Dh2 to Dh2.1 per share in its initial public offering (IPO) in the Dubai Financial Market.
This range implies a market capitalisation at listing of between Dh6.00 billion to Dh6.30 billion (approximately $1.63 billion to $1.72 billion), the company announced in a filing on Tuesday.
The company’s IPO will be the first to take place this year in the UAE. The Dubai Investment Fund has been announced as the Selling Shareholder, stating it expects the sale of 749,700,000 ordinary shares, representing 24.99% of the total issued share capital of the company.
“As Dubai continues to grow, our company will grow with it,” said Eng. Mohamed Al Ali, CEO of Parkin. “The IPO will enable us to build on and accelerate our success; driving further innovation, delivering strong financial performance, and realizing the potential of our growth platform to scale up and diversify.
“Testament to our attractive equity story, we are pleased to have received strong interest from investors following our intention to float on the DFM. At Parkin, we are steadfast in our commitment to delivering value to all our stakeholders and shaping the future of our industry for years to come.”
Parkin was established last month by the Dubai government to oversee parking operations across the city with financial, administrative, and legal autonomy, according to a new law.
The company accounts for more than 90% of Dubai’s on- and off-street paid parking spaces, accounting for 175,000 parking spaces across 85 locations in the city, an estimated 4,000 or so spaces at nine multi-storey car parks and about 18,000 spaces at seven developer-owned facilities.
Subscriptions will start on that date and end on March 12 for the first tranche for retail investors and on March 13 for institutional investors.
The company is seeking to raise Dh1.57 billion ($429 million) from the listing, which is expected to take place on March 21, 2024. Emirates NBD Capital, Goldman Sachs Group Inc. and HSBC Holdings Plc are joint global coordinators for the IPO.
