Al Qudra Holding will go public next month with the plans approved by the firm’s general meeting, Chairman Salah Salem bin Omeir Al Shamsi has announced.
The company needs to obtain authorisation from the Securities and Commodities Authority before it is listed on Abu Dhabi Securities Market. Al Shamsi said 45 per cent of the total value of the company will be retained by the founders and 25 per cent of the remaining 55 per cent would be floated. Another 30 per cent of the total capital would be raised later.
The initial tranche is expected to raise Dh3.4 billion – which would value the company at Dh24.5bn.
“We are launching the IPO to raise funds for existing projects and to expand the company’s portfolio,” said Al Shamsi. “The exact figures and other details will be announced soon.” Al Qudra Holding was established in 2005 along with its subsidiaries, and the following year the number of companies it owned rose to nine.
Now it has 30 companies operating in five major sectors – real estate, infrastructure, industry, services and agriculture. It has a large market share in Abu Dhabi’s property sector.
“We have projects and investments abroad, including real estate and agriculture projects in Morocco, Mauritania, Algiers and Yemen,” said Al Shamsi.
“The Moroccan realty project is worth $850 million (Dh3.1bn) and includes a tourist destination covering about 650 acres with five-star hotels, residential complexes and a golf course.”
The decision to go public was part of the company’s growth strategy and will enable it to take advantage of opportunities that were emerging.
“The local financial market is growing fast and local, regional and international markets are opening up, so Al Qudra needs to increase its investments.”
He said Al Qudra had joined a consortium that was planning a Dh1.6bn waste management venture in the UAE. The group is establishing the world’s first business communication academy, which will benefit people from all industrial sectors and all nationalities. It is also developing Abu Dhabi’s first investment park on a 22 sq km site outside the capital.
“The initial phase of the project, called Emirates Investment Park, has already received the approval of Abu Dhabi Planning Council and now the work on the second phase is under way.” Another venture is Q-Link, a luxury taxi service with a fleet of 1,121 London cabs painted white. The Dh80m project will provide taxi services at all hotels in the emirate. Feasibility studies on Al Qudra’s projects on Reem Island have been completed. Work on the developments, which will cover 1.8 million sq ft and include five towers, is due to start soon.
Al Qudra to go public next month