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Al-Ansari Financial Services Group announced, on Monday, that it had set the final offering price at 1.03 dirhams per share, which is the upper limit of the previously announced price range, after completing the process of building the order book for its initial public offering on March 24, 2023.
The global offering attracted a huge demand from the segment of professional investors and the segment of individual investors in the UAE alike, as the volume of total demand for shares exceeded 12.7 billion dirhams (including the main investor, National Bonds Company). With the exception of the initial investor commitment of 200 million dirhams, the level of subscription exceeded the target value of all tranches combined by about 22 times according to the final price. Professional investors placed more than 10.2 billion dirhams in subscriptions, including a commitment by National Bonds Corporation of 200 million dirhams. With the exception of the Initial Investor Commitment, requests from qualified professional investors were oversubscribed by more than 19 times.
The offering of professional investors witnessed a strong demand among regional and international investors alike, with good participation from investors from the UAE, Saudi Arabia and the rest of the Gulf Cooperation Council countries, which reflects the strength of the brand that the group has built over nearly sixty years in the local and regional market.
15 thousand requests
In turn, individual investors in the UAE witnessed a large demand, with a value exceeding 2.5 billion dirhams, with the number of applications submitted through receiving banks and the Dubai Financial Market electronic platform reaching approximately 15,000. In response to the great demand on the part of individual investors, the selling shareholder, Al Ansari Holding Company, exercised its right to increase the allocation of the offering for individual investors in the UAE to 56.25 million shares, representing 7.5% of the total offering shares.
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Muhammad Ali Al-Ansari, Chairman of the Board of Directors of the Al-Ansari Financial Services Group, said: “The great interest of Emirati, regional and international investors reveals the strength of our commercial reputation that we have built throughout our long and accomplished history, and is tangible evidence of the attractiveness of the UAE economy and the Gulf economies in general. And the confidence of the investment community in the financial markets in the emirate, and the Dubai Financial Market in particular.
He added, “I would like to personally welcome all our new shareholders, including our main investor, National Bonds Corporation, and invite all shareholders to be strategic partners as we strive to achieve the growth goals of the group’s subsidiaries and develop an effective strategy for environmental, social and corporate governance in parallel with providing long-term sustainable value to all shareholders.” .
transparency level
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For his part, Rashid Ali Al-Ansari, CEO of Al-Ansari Financial Services Group, said: “This listing provides an important opportunity for investors to be part of a financial group that has high growth potential driven by favorable trends at the sector and macroeconomic levels in the UAE and the GCC region in general. . At the same time, the group plans to reward its shareholders by paying attractive dividends, as specified in our dividend distribution policy.
He added, “As a publicly listed group, we will continue to enhance our credibility and raise the level of transparency in our relationship with existing shareholders, as well as attract new partners and enter new markets with greater confidence and ease. The listing provides us with the support we need to achieve our regional expansion ambitions, and we plan to attract and retain the best talent. We are now looking forward to starting a new phase in which we will continue our long-standing legacy in cooperation with our new shareholders.”
yield 7.8%
750 million shares, representing 10% of the total issued shares in the Group’s capital, will be listed for trading on the Dubai Financial Market on April 6, 2023. According to the final offering price upon listing, the dividend yield will be approximately 7.8% at least, and the market value will be The group has 7.73 billion dirhams ($2.10 billion). After the end of the initial public offering, Al Ansari Holding will continue to hold 90% of the issued share capital of the group.
It is expected that the shares of Al Ansari Financial Services Group will start trading under the symbol “ALANSARI” and the international identification code “AEE01198A238”. Investors participating in the retail offering in the UAE will be notified of the allocation of their shares through SMS on March 29, 2023.
