Spinneys Holding announces initial public offering and listing on DFM, offering 25% of the company’s shares

Spinneys Holding today announced its intention to proceed with an initial public offering (IPO) and list its ordinary shares on the DFM.

In its statement, the company said that 900,000,000 shares with a face value of AED 0.01 each will be available in the Offer, representing 25% of the total issued share capital of the Company.

All shares to be offered are existing shares held by Al Seer Group LLC as a selling shareholder who reserves the right to modify the size of the Offer at any time before the end of the subscription period in its sole discretion, subject to applicable laws and the approval of the Securities and Commodities Authority (SCA) in the United Arab Emirates.

The Offer will be available to UAE retail investors and other investors as part of the UAE Retail Offer or the first tranche, as well as to professional investors outside the United States, including the UAE, as part of the Offer to qualified investors or the second tranche.

The subscription period will open on Tuesday, April 23, 2024 and will end on Monday, April 29, 2024 for UAE retail investors and Tuesday, April 30, 2024 for professional investors.

Admission of the shares to trading on DFM is expected to take place in May 2024. The share capital of the Company, as at the listing date (the “Listing”), has been set at AED 36,000,000 divided into 3,600. 000,000 paid shares. in its entirety, the nominal value of each Share being AED0.01.

Following the Offering, and beginning in fiscal 2024, the Company intends to pay dividends semi-annually in April and October of each year, with the first payment scheduled for October 2024, with respect to the first half of 2024.

For fiscal year 2024 and beyond, the Company will strive to maintain a dividend payout ratio of 70% of annual distributable earnings, after tax.

Ali Saeed Juma Al Bwardy, Founder and Chairman of Spinneyscommented,

“Having begun our story in Dubai in the early 1960s, we are proud to take another important step in our journey. Spinneys is a long-standing brand with a strong heritage in the UAE and a commitment to quality, which has evolved over the decades to become one of the country’s leading premium fresh food retailers.

“Our IPO represents an opportunity for investors to be part of our next stage of growth and we are excited to embark on a new chapter, bringing our new opportunity to a broader shareholder base.”

News source: Emirates News Agency