Delivery Hero has established the share price for its Middle Eastern subsidiary, Talabat, at 1.60 UAE dirhams ($0.44) per share. The IPO is expected to generate AED 7.5B ($2B) in gross proceeds on the Dubai Financial Market (DFM).
The final price sits at the upper limit of the previously indicated range, suggesting a market valuation of AED 37.3B ($10.1B) upon listing.
Earlier this week, Talabat increased its offering from 15% to 20% of its total issued share capital, amounting to 4,657,648,125 shares, in response to strong investor interest.
Following the expanded offer size, Talabat’s IPO is projected to be the largest in the UAE this year. Last month, Lulu Retail, a hypermarket chain, raised $1.7B by listing a 30% stake on the ADX, marking the UAE’s largest IPO so far in 2024.
Talabat reported that the offering experienced double-digit oversubscription.
The first tranche allocation is scheduled for 6 December 2024, with refunds also starting on the same day.
Shares are expected to commence trading on the DFM from 10 December 2024.
Emirates NBD Capital PSC, J.P. Morgan Securities PLC, and Morgan Stanley & Co International PLC served as joint global coordinators and joint bookrunners.
