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Tue 30 Sep 2014 02:44 PM

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Dubai's Mirdif developer says mulling offers for takeover

Dubai Development Co, which has built the Mirdif area of emirate, says it has identified parties for acquisition or merger deal

Dubai's Mirdif developer says mulling offers for takeover

Dubai Development Co, the company part owned by the government which is responsible for the Mirdif area of the emirate, said on Tuesday it is considering external offers of merger or acquisition.

Following a strategic review and approval from shareholders, the Dubai-listed developer said in a statement that it has already identified several interested parties.

Dubai Development Co was formed in 1975 to support the residential development of Dubai and was listed on the DFM in 2007.

The company is partly owned by Dubai Government, the Al Mulla Group, and the Al Owais family among other shareholders. The company has completed all its real estate projects and no further projects are currently under consideration.

Having fulfilled the company's original mission, Dubai Development Co's board said it had taken the decision in order to optimise the value of returns for shareholders.

"The company believes merger or acquisition would be the preferred option and would help keep the company a going concern. The board has already identified several interested parties who recognise the potential investment value of the name and the goodwill of Dubai Development Company, generated over 40 years of operations, as well as its status as a DFM listed company," the company said in the statement.

Emirates NBD Capital is advising Dubai Development Co on this matter, the statement added.

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