UAE’s Al Ansari boosts IPO size on strong investor interest

Al Ansari Financial Services, a leading exchange house in the United Arab Emirates (UAE), is currently undergoing an initial public offering (IPO) with the aim of raising up to AED 772.5 million ($210.4 million). In response to high investor demand, the company has announced that it will increase the size of the retail tranche from 5% to 7.5% of its share capital.

Despite the increase in the retail tranche, the global offering size will remain unchanged at 750,000,000 ordinary shares, representing 10% of the company’s issued share capital. However, the qualified investor tranche has been reduced from 712,500,000 ordinary shares to 693,750,000 ordinary shares, equivalent to 92.5% of the total shares on offer, down from the previously announced 95%.

Based on the previously announced price range of AED 1.00 to AED 1.03 per share, the size of the retail tranche will now be between AED 56.3 million and AED 57.9 million, representing a total of 7.5% of the IPO size. The UAE Retail Offer closed on March 23, while the qualified investor offer will close on March 24. The final offer price will be determined through a book-building process.

Al Ansari Financial Services has a long-standing reputation in the UAE, having been established in 1966. The company provides a range of financial services, including foreign exchange, bill payments, and remittances. The funds raised through the IPO will be used to support the company’s growth plans and expand its operations.