Dewa announces IPO and plans to list on DFM

Dubai Electricity and Water Authority (Dewa), a globally leading fully integrated utility company, said it plans to conduct an initial public offering (IPO) and list its ordinary shares for trading on the Dubai Financial Market (DFM).

A total of 3.25 billion shares, equivalent to 6.5% of Dewa’s existing shares, will be offered, with the selling shareholder reserving the right to increase the size of the Offer at any time before the fixing of the Offer price, subject to applicable law and the approval of the SCA.

All shares to be offered represent the sale of existing shares held by the Government of Dubai. Admission of the shares to trading on the DFM is scheduled for April 2022.

The Offering will be made available to individual and other investors under the UAE Retail Offering as well as to professional investors outside of the United States, including the UAE, under the qualified investors.

Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum, Deputy Governor of Dubai, Deputy Prime Minister, Minister of Finance, said: “Today marks a significant moment in Dewa’s history and is an important step towards achieving our view of capital markets in Dubai. As a central part of Dubai‘s economy, Dewa has a vital role to play in supporting the future growth of the emirate and its transition to a net zero economy by 2050.

“For potential new Dewa shareholders, this offering is an opportunity to be part of Dubai’s future and have a stake in an organization that has an unrivaled track record of technological innovation and operational excellence.”

Saeed Mohammed Al Tayer, Managing Director and Chief Executive Officer of Dewa, said, “Dewa has a world-class governance system and a continuous record of good governance in all of its operations. With the highest standards of efficiency, quality and availability, Dewa is ready to meet the growing demand for electricity and water in the emirate, as the population is expected to grow from around 3.5 million people today to 5.8 million people by 2040.

“Dewa’s core strategy is to support Dubai’s energy transition to net zero by 2050 – we are focused on creating a clean future for our customers and communities. Dewa supports the Dubai Net Zero Carbon Emissions Strategy 2050 and is well aligned with the Dubai Clean Energy Strategy 2050, which aims to provide 100% of Dubai’s power generation capacity from clean energy sources by 2050 Going forward, Dewa will support the UAE’s strategic growth ambitions by providing Dubai’s millions of residents and visitors with world-class services and innovative energy solutions. And it will enrich lives while ensuring the happiness and well-being of all our stakeholders.”

The subscription period for the UAE retail offering is expected to run from March 24, 2022 to April 2, 2022, with the offering subscription period for accredited investors to run from March 24, 2022 to April 5, 2022.

Closing of the offering and admission is currently expected to occur in April 2022, subject to market conditions and receipt of relevant regulatory approvals in the UAE, including approval for listing and listing. trading on the DFM.

The shares held by the selling shareholder after the completion of the offer will be subject to a blocking period which begins on the date of listing of the shares and ends six months thereafter, subject to certain conditions.

Emirates NBD Capital Limited has been appointed financial adviser while Moelis & Company UK LLP DIFC Branch has been appointed independent financial adviser to Dewa.

Citigroup Global Markets, Emirates NBD Capital Limited and HSBC Bank Middle East have been appointed Joint Global Coordinators, and Credit Suisse International, EFG-Hermes UAE, First Abu Dhabi Bank and Goldman Sachs International have been appointed Joint Bookrunners.

Emirates NBD Bank PJSC has been appointed lead receiving bank. Abu Dhabi Commercial Bank PJSC, Abu Dhabi Islamic Bank PJSC, Ajman Bank, Al Maryah Community Bank LLC, Dubai Islamic Bank, Emirates Islamic Bank, First Abu Dhabi Bank, Mashreq Bank and Sharjah Islamic Bank have been named as receiving banks.

The internal Shariah oversight committees of Emirates NBD Bank PJSC and HSBC Bank Middle East Limited have issued statements confirming that the offer complies with Shariah principles. – TradeArabia Press Office

About Tammy N. McFarlane

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