ADNH Catering PLC, a subsidiary of Abu Dhabi National Hotels, announced the price range for its initial public offering and the start of the subscription period for its shares on the Abu Dhabi Securities Exchange today, Monday.
The share price range was set between AED 0.91 and AED 0.96, meaning the company’s market value upon listing will range between AED 2.05 billion (about $557 million) and AED 2.16 billion (about $588 million).
The company is offering 900 million shares, representing 40% of its total capital of 2.52 billion shares, bringing the total offering size to between 819 million dirhams (about 223 million dollars) and 864 million dirhams (235 million dollars).
Subscription period details
The subscription period continues until Monday, October 14 for individual investors and employees, and October 15 for professional investors.
The subscription targets three segments:
Individual investors (first tranche): 9.83% of the offering shares, with a guaranteed minimum of 2,000 shares.
Professional investors (second tranche): 90% of the offering shares.
Eligible employees (third tranche): 0.17% of the offering shares, with a guaranteed minimum of 4,000 shares.
Priority of existing shareholders
Up to 10% of the total offering will be available to existing shareholders of Abu Dhabi National Hotels Company, who apply for subscriptions in the first or second tranches, with priority over other subscription applicants.
It is noted that no preferential allocation will be granted to persons who own shares in the company after October 2, 2024.
Final price setting and trading
The final offer price will be determined through a book-building process, with announcement to be made on 16 October 2024. The Company is expected to be listed and traded on the Abu Dhabi Securities Exchange on 23 October 2024.
