Dubai is set to raise $724m by pricing its latest initial public offering, Emirates Central Cooling Systems Corp., at the top end of the range.
Dubai Electricity & Water Authority and Emirates Power Investment are selling 2 billion shares in Empower, as the company is also known, at AED1.33 ($0.36) apiece.
Demand exceeded the number of shares on offer.
Empower increased share offer two times
Empower’s shareholders had raised the size of the IPO twice last week after drawing strong investor interest. They now plan to sell 20%, up from an initial plan of 10%.
The deal is part of Dubai’s privatisation drive to increase liquidity and catch up with a flurry of share sales in Abu Dhabi and Saudi Arabia.
The city’s three IPOs this year have raised about $7.6bn combined and the government increased the size of two of these listings, DEWA and Salik, after drawing significant demand.
Empower will announce final pricing on Nov. 9 and make its trading debut on Nov. 15.
The UAE Strategic Investment Fund, Shamal Holding and Abu Dhabi Pension Fund are cornerstone investors with a total commitment of up to 335 million dirhams.
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