A stronger-than-expected demand has prompted the Dubai government to raise its offer in the ongoing listing of its road toll operator Salik.
From the initial 1.5 billion shares or 20 percent of the share capital, it has been raised to 1.87 billion shares or 24.9 percent.
“The new offering size was determined by the Selling Shareholder, following Salik’s decision to set the offer price at AED2 per ordinary share on September 13, 2022, providing investors with a highly attractive value proposition,” according to the company’s statement.
Subscription to the initial public offering’s first and third tranches – for retail and qualified investors – will still end on September 20 and 21 respectively.
The retail tranche will rise from 120 million shares to 145.7 million shares. From 1.38 billion shares, the offer size for the third tranche will be 1.72 billion shares.
The Dubai government will hold 75.1% of the road toll operator following the IPO.
After it lists on the Dubai Financial Market, the company’s market capitalization is anticipated to be around AED15 billion ($4.1 billion).