This will be the first IPO of a company on the Abu Dhabi bourse since Abu Dhabi National Oil Co Distribution was listed in 2017.
Al Yah Satellite Communications (Yahsat) has set an indicative price range for its initial public offering which shows it could raise up to Dh2.976bn ($810m) in the IPO.
The offer price range has been set at Dh2.55 to Dh3.05 per share ($0.69 – $0.83). The final offer will be announced on July 9 and the listing is expected to take place on July 14.
This will be the first major IPO of a company on the Abu Dhabi bourse since Abu Dhabi National Oil Co. Distribution was listed in 2017 and will likely be followed by other large share offerings this year.
Mubadala, the United Arab Emirates state-owned investment company, will remain a majority shareholder in Yahsat. Around 30% of Yahsats shares will be made available to individuals and other investors in the UAE, as part of the UAE retail offering, and to qualified institutional and other investors, as part of the qualified investor offering.
Alpha Dhabi Holding, a subsidiary of International Holding Co, intends to list on the Abu Dhabi Securities Exchange on Sunday in a direct listing process.
Yahsat plans to sell a minimum of 731.9m shares to a maximum of 975.9m shares, indicating it may raise at least Dh2.23bn ($607m) to a maximum of Dh2.976bn ($810m).
In a statement, Ali Al Hashemi, Chief Executive Officer of Yahsat said: We believe that we have established a strong and proven operational and financial track record over the years which, coupled with the ever-growing adoption of technological solutions and promising prospects of the space industry in Abu Dhabi and the UAE more broadly, provides a compelling proposition for potential investors. We look forward to their participation in Yahsats growth story.
The share sale opens Sunday, June 27 and will continue until Tuesday, July 6, 2021, for individuals and other investors in the UAE and until Thursday, July 8, 2021, for qualified institutional and other investors.