The share price of Emaar Development, the property development business of Emaar Properties, closed down on the first day they were listed on the Dubai Financial Market (DFM).
Shares were priced at AED5.77 per share, down from its initial public offer price of AED6.03 per share, a fall of 4.3 percent.
According to data on the DFM website, Emaar Development shares were the most active by value which totalled more than AED279 million.
Emaar Properties shares, however, rose 2.6 percent to AED7.80 at the close, up from AED7.50.
Speaking at a bell ringing ceremony on Wednesday morning, Emaar Properties chairman Mohamed Alabbar said that the listing of the shares marked “a transformative day” for Emaar Development.
“Already a flagship brand and a market leader in Dubai, our successful IPO demonstrates that regional and international investors are excited by our proven business model; specifically, our backlog of AED 41 billion ($11.6 billion); our high cash flows; and our targeted dividend yield of 8.6 percent for the next three years, which the company believes is higher than our competitors, and expected to increase in the future,” he said.
“We are confident that this is just the beginning of a bright future for Emaar Development and our shareholders."
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