The catering unit of Abu Dhabi National Hotels has set an offer price between UAE dirhams 0.91 and UAE dirhams 0.96 per share for its IPO, implying a market capitalisation between AED 2.05 billion ($557 million) and AED 2.16 billion ($588 million).

ADNH plans to issue 900,000,000 shares with a nominal value of AED 0.10 a share on the Abu Dhabi Securities Exchange (ADX), representing 40% of ADNH Catering’s total issued share capital.

The subscription period will start today and is expected to close on Monday 14 October 2024 for the UAE retail offering and eligible employee offering and on Tuesday 15 October 2024 for the qualified investor offering.

The final offer price is expected to be announced on Wednesday 16 October 2024.

Up to 10% of the offer shares will be made available for existing shareholders of ADNH Group who apply in either the first tranche or the second tranche.

“With exposure to high-growth sectors such as healthcare and education, and an expanding geographic footprint in Abu Dhabi and Dubai, we also see significant potential in Saudi Arabia, especially in the Eastern Region, Jeddah, and Riyadh, where we are already making excellent progress on expanding our operations,” Clive Cowley, Chief Executive Officer of ADNH Catering, said.

Citigroup Global Markets Limited and First Abu Dhabi Bank PJSC have been appointed as Joint Global Coordinators and Joint Bookrunners. Emirates NBD Capital PSC and Abu Dhabi Commercial Bank PJSC have been appointed as joint bookrunners.

First Abu Dhabi Bank PJSC has been appointed as the Lead Receiving Bank. Abu Dhabi Commercial Bank PJSC, Abu Dhabi Islamic Bank PJSC, Emirates NBD Bank PJSC and Emirates Islamic Bank PJSC have been appointed as receiving banks.

BHM Capital Financial Services has been appointed as the stabilization manager.

(Writing by Seban Scaria editing by Daniel Luiz) seban.scaria@lseg.com