Head of Personnel and Accounts Department at Al-Ramz Capital, Marwan Shurrab, said: Dubai Electricity and Water Authority (DEWA) IPO It is witnessing strong demand, especially as it is a sovereign company and the first IPO in Dubai for a long time.
He added in an interview with “Al Arabiya” today, Tuesday, that the IPO created great momentum and there is real demand from investors with a long-term outlook, not just speculative investors, expecting to cover the subscription several times.
He explained that the IPO would represent a positive view of the financial markets in the UAE, especially the Dubai market, which needs to recover following the momentum of trading when the offerings were announced last November, and the high trading on the leading shares, but the trading volumes declined once more.
Marwan Shurrab indicated that the timing of the subscription is unique to the UAE markets and the Dubai market in particular, expecting the recovery of the leading shares, and the increase in the income of the Dubai Financial Market Company following the subscription.
Today, Tuesday, the period of institutional offerings in the DEWA subscription ends, and the company has increased the initial public offering segment for individual subscribers to nearly three times, which raises the total subscription volume by up to 22.32 billion dirhams (6.08 billion dollars).
The segment of individual subscribers increased to 760 million shares from 260 million due to high demand and exceeding the specified volume of subscription from individual investors, according to Archyde.com.
Last month, DEWA officially announced its intention to proceed with an initial public offering to list 3.25 billion shares, constituting 6.5% of its shares on the Dubai Financial Market.
This is the first initial public offering of 10 planned for companies linked to the Dubai government, with the aim of reviving the stock exchange.
