Parkin, the largest provider of paid parking facilities and services in Dubai, today announced the price range and start of the subscription period for its Initial Public Offering (IPO) on the Dubai Financial Market (DFM).

Mohamed Al Ali, CEO of Parkin, said, "We provide critical infrastructure to the Emirate with a systemic role in enabling mobility to support the city's expansion plans. As Dubai continues to grow, our company will grow with it. The IPO will enable us to build on and accelerate our success, driving further innovation, delivering strong financial performance, and realising the potential of our growth platform to scale up and diversify."

The price range for the Offering has been set between AED2.00 and AED2.10 per share, implying a market capitalisation at the listing of between AED6.00 billion to AED6.30 billion (c. $1.63 billion to c. $1.72 billion).

The Dubai Investment Fund (Selling Shareholder) expects to sell 749,700,000 ordinary shares, representing 24.99 percent of the Company's total issued share capital. The Fund reserves the right to amend the size of the Offering at any time prior to the end of the subscription period at its sole discretion, subject to applicable laws and the approval of the Securities and Commodities Authority.

Assuming all the shares offered are sold, the size of the Offering will be approximately AED1,499.40 million to AED1,574.37 million (c. $408.28 million to c. $428.69 million). The final offer price is expected to be announced on 14th March 2024.

All the Shares are existing shares held by the Dubai Investment Fund as the Selling Shareholder. The Company will not receive any proceeds from the Offering. Following the Offering, and subject to the size of the Offering not being increased, the Selling Shareholder will continue to hold a stake of 75.01 percent of the total issued share capital of the Company.

The Offering will comprise of a public offering (UAE Retail Offering) to individual and other investors in the UAE (as defined in the UAE prospectus and referred to as "First Tranche" subscribers) and an offering to professional investors and other investors in a number of countries, including in the UAE, outside the United States of America in reliance on Regulation S (the "Qualified Investor Offering" and referred to as "Second Tranche" subscribers).

Five percent of the Offering will be reserved for offer to the Emirates Investment Authority (EIA), and five percent of the Offering will be reserved for offer to the Pensions and Social Security Fund of Local Military Personnel.

The UAE Retail Offering subscription period is expected to run from 5th March 2024 to 12th March 2024, with the Qualified Investor Offering subscription period expected to run from 5th March 2024 to 13th March 2024.

The Offer Price will be determined through, and following, a book building process. Investors participating in the UAE Retail Offering will subscribe for the Shares at the Offer Price.

Each subscriber in the First Tranche will be guaranteed a minimum allocation of up to 2,000 Shares, subject to the total number of shares allocated pursuant to the minimum guaranteed allocation in the First Tranche not exceeding the total number of shares available in the First Tranche, and could therefore be lower than 2,000 Shares.

The final minimum guaranteed allocation for each subscriber in the First Tranche shall be determined at the end of the subscription period based on the total number of the First Tranche subscribers and the Offer Price.

The completion of the Offering and Admission is currently expected to take place in March 2024, subject to market conditions and obtaining relevant regulatory approvals in the UAE, including approval of Admission to Listing and trading on the DFM.

Rothschild & Co Middle East Limited has been appointed as the Independent Financial Advisor.

Emirates NBD Capital, Goldman Sachs International, and HSBC Bank Middle East Limited have been appointed as Joint Global Coordinators and Joint Bookrunners.

Abu Dhabi Commercial Bank, EFG-Hermes UAE Limited (acting in conjunction with EFG Hermes UAE LLC) and First Abu Dhabi Bank have been appointed as Joint Bookrunners.

Emirates NBD Bank has been appointed as the Lead Receiving Bank. Abu Dhabi Commercial Bank, Abu Dhabi Islamic Bank, Al Maryah Community Bank, Commercial Bank of Dubai, Dubai Islamic Bank, Emirates Islamic Bank, First Abu Dhabi Bank, Mashreq Bank and Wio Bank have also been appointed as Receiving Banks.

Neither HSBC Bank Middle East Limited nor any of its respective affiliates is responsible for participating in, marketing or managing any aspect of the UAE Retail Offering to natural persons.

The Internal Sharia Supervision Committee of Emirates NBD Bank PJSC has issued a Shariah pronouncement confirming that, in its view, the Offering is compliant with Shariah principles. Investors should undertake their due diligence to ensure that the Offering is Shariah-compliant for their purposes.