Dubai’s Axiom sells 35% stake to Qatar’s Mannai Corp

Handset retailer had scrapped plans to list in Dec on liquidity, market concerns
Dubai’s Axiom sells 35% stake to Qatar’s Mannai Corp
CEO Faisal Al Bannai said the company had made the right decision in aborting its listing
By Joanne Bladd
Thu 16 Jun 2011 06:02 PM

Qatar’s Mannai Corp is to buy a 35 percent stake in Dubai’s
Axiom Telecom for an undisclosed sum, the mobile phone retailer said in a
statement on Thursday.

“The capital increase will aid our plans of further growth and
expansion,” said CEO Faisal Al Bannai in an emailed statement.

The handset retailer cancelled its initial public offering
in December, citing “market conditions and liquidity” concerns. Axiom had planned
to debut on Nasdaq Dubai in early December with a market value of up to $1bn
after selling up to one third of its shares to institutional investors.

Al Bannai said the company, which owns a 40 percent stake in
India’s Allied International Investments, had made the right decision to abort
the listing.

“This… gave us the ability to attract the right investors
and sell shares at a price higher than the IPO,” he said in the statement.

Mannai Corp, which is listed in Qatar but is not on the main
index, is active in various sectors including technology, engineering and
retail.

For all the latest tech 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.

Subscribe to our Newsletter

Subscribe to Arabian Business' newsletter to receive the latest breaking news and business stories in Dubai,the UAE and the GCC straight to your inbox.