The Union Coop Friday announced its intention to list its shares on the Dubai Financial Market (DFM) on July 18, as the first retail cooperative in the UAE to take this step. The listing is a part of the Securities and Exchange Higher Commission strategy aiming at increasing the stock market size in the Emirate to Dh3 trillion, raising the competitiveness of bourses, and encouraging public initial offerings (IPOs).
The Union Coop also announced the suspension of trading on its shares through its portal on Friday, 1st of July, 2022. Trading will be resumed on the 18th of July through the DFM, noting that the Union Coop will exercise a share split as per the equation of 1 to 10 (I.e., Union Coop member shall receive 10 shares against each currently-owned share), and share price will be determined on the first day of trading. Members of Union Coop who have an investor number in the DFM and a trading account with one of the linseed brokerage firms will be able to trade their shares ordinarily.
The Union Coop maintains a momentous record of operational and financial excellence since 1984, as its net profits recorded a compound annual growth rate of 20.5%, while its sales increased 16.85%. The Union Coop registered a 2.6% increase in net profits in the first quarter of 2022 to AED 116.5 million, while net profits for the full year of 2021 reached AED 413 million.
Hamed Ali, CEO of DFM and Nasdaq Dubai, welcomed the Union Coop’s announcement of its intention to list on the DFM. “This listing underlines the joint efforts between the DFM and various economic sectors in Dubai to accelerate the implementation of Dubai’s strategy to develop its financial markets, aiming to increase its value to Dh3 trillion.” Khalid Al Falasi, CEO of the Union Coop, said: “The listing enables us to leverage the numerous benefits of capital markets to implement our growth strategy and provide our members with the DFM innovative services.”
The Union Coop maintains a momentous record of operational and financial excellence since 1984, as its net profits recorded a compound annual growth rate of 20.5%, while its sales increased 16.85%.