Dubai’s Emaar Properties began Sunday selling shares in its retail division, aiming to raise $1.58 billion in the emirate’s biggest initial public offering since a financial crisis.
Emaar Malls Group is hoping to sell two billion shares representing 15.4 percent of the share capital, with a price range set at between 2.5 dirhams and 2.9 dirhams, it said, which could raise 5.8 billion dirham ($1.58 bn).
The group which owns one of the world’s largest shopping centres, the Dubai Mall, said the announcement of the final pricing will be made on September 29, after the close of subscriptions for individual and institutional investors.
“EMG has an excellent track record and we believe that our iconic assets, strong parent, experienced management team and the attractive consumer market in Dubai, make us well positioned to deliver further growth,” said Mohamed Alabbar, chairman of Emaar Malls Group.
The Dubai stock market has seen a draught in flotations since the global financial crisis hit the Gulf emirate in 2009.
Emaar Properties, the parent group of EMG, is the largest listed company on the Dubai Financial Market. It was behind landmark property developments, including the world’s tallest tower, Burj Khalifa.
The Dubai economy has made a strong comeback since it retracted due to the global financial crisis, thanks to growth in the trade, transport and tourism sectors.