By Courtney Trenwith
Emirates NBD says more than half of the 5600 applications for the initial public offering through its bank were made via an ATM or online
Nearly 3000 people have subscribed to the Emaar Malls initial public offering (IPO) using an Emirates NBD ATM, according to the bank, in what is the first time shares in the UAE can be purchased using the machines.
ATM and online subscriptions have accounted for more than half of all of the 5600 applications in the IPO made through the bank, it said.
Emirates NBD’s new eIPO platform was launched on the same day as the Emaar Malls IPO, September 14, with bank customers able to subscribe to the IPO using their debit card and National Investor Number. Customers were also able to apply for family members and friends.
“Technological innovation and adoption is a key focus at Emirates NBD, and we are delighted with the customer response to our latest offering,” Group Chief Operating Officer Abdulla Qassem said.
“More than half of the bank’s customers subscribing to the Emaar Malls IPO have opted to take advantage of our convenient ATM and online subscription channels.
“We are extremely delighted that the facilitation of the electronic platform was well received by our thousands of customers, who took advantage of the highly user-friendly and simple process of digital subscription.”
The Emaar Malls IPO subscription closed on Wednesday.
The Dubai developer, the largest listed company in the emirate, is yet to comment on the success of the subscription. Reuters reported on Wednesday that it was likely to price the shares at AED2.90 each, the top of its range.
That price would give the unit a value of AED37.7 billion ($10.26 billion), a source said. Strong demand has seen the institutional tranche subscribed at 7.5 times at the top end of the AED2.50-2.90 range, while the retail tranche is subscribed 20 times, two further sources said.
The IPO is due to launch on October 2.For all the latest real estate news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.