US bank Moelis and Emirates NBD have been hired to advise the Dubai IPO of DEWA – sources
By Hadeel Al Sayegh and Saeed Azhar
DUBA, November 3 (Reuters) – The American investment bank Moelis MC.N and Dubai lender Emirates NBD ENBD.DU were hired to advise on the initial public offering (IPO) of the Dubai Electricity & Water Authority (DEWA), sources familiar with the matter said.
The Dubai government said on Tuesday that it is planning a public service IPO, among 10 state-backed companies that will be listed as part of plans to boost activity on the local stock exchange.
DEWA and the Dubai media office did not immediately respond to a request for comment from Reuters.
Moélis and Emirates NBD declined comment.
The listing plans aim to make Dubai a more competitive market compared to the region’s largest stock exchanges, such as those in neighboring Saudi Arabia and Abu Dhabi, which see higher listings and high liquidity.
A wave of write-offs and an absence of large initial public offerings have put pressure on the Dubai stock market, raising questions about the future of one of the main Gulf stock exchanges, which launched two decades ago.
Dewa had 884,404 water customers and 990,258 electricity customers at the end of 2020, according to company data.
DEWA has assets of nearly 200 billion dirhams ($ 54.45 billion) and projects with a combined value of around 86 billion dirhams, Chief Executive Officer Saeed Mohammed Al Tayer said in a statement on Tuesday.
($ 1 = 3.6728 UAE dirhams)
(Reporting by Hadeel Al Sayegh and Saeed Azhar; Editing by Jan Harvey, Alexandra Hudson and Kim Coghill)
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