Satellite operator Yahsat plans to list a stake of as much as 40 percent in Abu Dhabi next month, in what would be the first IPO on the emirate’s stock exchange since 2017.
Al Yah Satellite Communications Co., which is wholly owned by Mubadala, the $243 billion state-controlled wealth fund, has hired Abu Dhabi Commercial Bank, First Abu Dhabi Bank and HSBC Holdings Plc as joint lead managers.
Musabbeh Al Kaabi, chief executive officer of UAE Investments at Mubadala and chairman of the board of directors at Yahsat, said: “Mubadala takes pride in the creation of Yahsat, and is proud of its position as one of the world’s leading fixed and mobile satellite communication providers, through its high caliber of talented UAE and international experts. In line with our mandate to drive technological transformation and economic diversification of the UAE, we strive to develop a world-class innovation and technology-driven ecosystem that attracts investment in Abu Dhabi and the UAE more broadly.
“We believe the listing of Yahsat on Abu Dhabi’s Stock Exchange further reiterates our role in contributing to the growth of the UAE economy.”
Yahsat’s share sale would mark the first IPO in Abu Dhabi since Abu Dhabi National Oil Co. for Distribution PJSC began trading in 2017. Sovereign funds ADQ and Mubadala – alongside the emirate’s state oil company – have signalled their intentions to list more assets locally.
Offer Details:
- IPO for minimum 731.9 million shares and a maximum 975.9 million shares, representing minimum 30 percent stake and maximum of 40 percent stake in the company
- Offer expected to close July 6 for first and third tranche and July 8 for second tranche
- Final offer price and size: July 9
- Expected date of listing in Abu Dhabi: July 14
Yahsat provides integrated satellite communications solutions to over 150 countries across Europe, the Middle East, Africa, South America, Asia and Australasia, according to information on its website. It runs five satellites.
Ali Al Hashemi, CEO at Yahsat, added: “Today’s announcement marks an important milestone in Yahsat’s journey as we continue to build on our strong national and international partnerships and invest in new technologies to drive future growth. We believe we have established a strong and proven operational and financial track record over the years and look forward to welcoming new investors to participate in Yahsat’s growth story.”
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