"Salik" stock jumps 12% in the middle of its trading on the Dubai Financial Market
The share of "SALIC", the exclusive operator of the traffic toll gate, consolidated its gains with the start of its trading on the Dubai Financial Market, topping the gains in mid-trading today, Thursday, by 12%, at a price of 2.24 dirhams, compared to the offering price of 2 dirhams.
Also at that trading hour, "Salik" shares topped the list with trading values and volumes by about 495.89 million dirhams, with a trading volume of about 214.26 million shares.
The stock's performance did not match the performance of the Dubai Financial Market index, which declined at that hour by 0.31% at the level of 3332.87 points, recording a trading value of about 650.05 million dirhams.
The CEO of Salik, Ibrahim Al-Haddad, said that the large number of requests led to an increase in the percentage of offering "Salik" in the Dubai Financial Market, which confirms the confidence of investors in companies located in Dubai.
Al-Haddad added, in televised media statements, on the sidelines of the start of trading in the shares of “Salik” in the Dubai market, that the demand for the company’s shares exceeded the supply 49 times, as a total volume, pointing out that if companies or basic investors are excluded, the volume of demand is approximately 57 times.
He stressed that the company will benefit from the Dubai 2040 plan, which aims to increase the city's population to 70% over the next 20 years, which is more than any rate found in the region.
Al-Haddad explained that one of the objectives of the plan is also to receive 25 million visitors during the year 2025, in addition to hosting distinguished international events that will reach more than 400 events during the coming period, stressing that all of this will be in the interest of Salik.
He pointed out that the Salik gates are located in strategic areas in Dubai, and undoubtedly benefit from the economic events hosted by the emirate.
Today, Thursday, the Dubai Financial Market received the listing of the shares of "Salik", the exclusive operator of the traffic toll gate in the emirate, under the symbol "SALIK", with a market value of 15 billion dirhams, equivalent to 4.1 billion dollars.
The listing of Salik's shares today is the fourth listing witnessed by the Dubai Financial Market this year, after the Dubai Electricity and Water Authority (DEWA), TECOM and Union Coop.
This listing is also part of the strategy of the Dubai Capital Markets and Exchanges Development Committee, which aims to double the value of the emirate's financial markets to 3 trillion dirhams.
After the company announced at the end of last week that the IPO of its shares on the Dubai Financial Market was covered more than 49 times across all segments, which highlights the strong confidence in the company, with a value that exceeded 184.2 billion dirhams, equivalent to 50.2 billion dollars.
The segment allocated for individual subscription alone attracted 119 times more requests than the supply, as the demand for subscription exceeded 34.7 billion dirhams.
The qualified investors segment attracted huge demand from all over the world, amounting to 149.5 billion dirhams, indicating an increase in the demand for subscription by 43 times (excluding the core investors, where the subscription requests exceeded 52 times).
The company indicated that the offering attracted huge interest among the international and local investor community with oversubscription of the qualified investors segment by 52 times (excluding the core investors).
The company confirmed the previously announced size of the offering after an increase of 1.867 billion of ordinary shares, equivalent to 24.9% of the total issued shares in the capital of “Salik”, with the share price of 2.00 dirhams per ordinary share, which resulted in a total revenue of more than 3.7 billion dirhams. ($1 billion) payable to the Government of Dubai represented by the Department of Finance (the “selling shareholder”) after adjusting for any costs related to the offering.
After completing the initial public offering of Salik, the Dubai government will retain ownership of 75.1% of the company's capital.
The UAE Strategic Investment Fund (through Emirates NBD AM SPC), Dubai Holding, Shamal Holding, and the Abu Dhabi Pension Fund (together referred to as the “core investors”) have subscribed for 16.2% of the offered shares.
Subject to certain customary exceptions, shares owned by all major investors will be subject to a 180-day no-trading period, after the company is listed.
As part of the Qualified Investors Offering, and in accordance with both the Companies Law and Dubai Law, 5% of the Offer Shares have been reserved for the Emirates Investment Authority and 5% of the Offer Shares have been reserved for the Pension and Social Security Fund for local military personnel.
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