du Raises Dh3.15 Billion in Secondary Share Sale
Emirates Integrated Telecommunications Company (du) has successfully completed a secondary public offering that raised Dh3.15 billion for its shareholder Mamoura Diversified Global Holding, a subsidiary of Mubadala Investment Company. The transaction involved the sale of 342 million shares, representing 7.55% of du’s share capital, at Dh9.20 per share. With this deal, Mamoura sold 75% of its stake in the company.
The offering was structured to include both retail and institutional participation. UAE retail investors were allocated 5% of the shares, with each subscriber guaranteed at least 500 shares. Refunds for unallocated funds will be processed by September 16. Meanwhile, institutional investors within the UAE and abroad received 95% of the shares, with settlement managed through the Dubai Financial Market.
Books were multiple times oversubscribed, which highlighted robust interest from both local and international investors. This outcome reflects investor confidence in du’s growth trajectory and its importance in advancing the UAE’s digital economy.
Market Impact and Liquidity Boost
The secondary public offering increases du’s free float to 27.7%. Consequently, this is expected to enhance trading liquidity and may create opportunities for inclusion in global indices such as MSCI and FTSE. Such a development would broaden du’s visibility among international investors and strengthen its standing in global financial markets.
Fahad Al Hassawi, CEO of du, said the strong investor appetite demonstrated confidence in the company’s strategy and its contribution to the UAE’s digital transformation. Shares from the offering will be tradable on the Dubai Financial Market beginning September 16, giving investors quick access to participate in the company’s growth story.
Positioning for Future Growth
The successful outcome of the offering underscores a positive market outlook for du. By expanding its free float and attracting global attention, the company is better positioned to leverage its role in shaping the UAE’s digital landscape. In addition, the transaction strengthens the link between retail investors and the country’s telecom sector, while also creating fresh opportunities for institutional investors worldwide.
As du continues to scale up its digital and data-driven initiatives, the strengthened market presence from this offering lays the groundwork for long-term growth and sustained investor confidence.
