Amanat to launch Dhs2.5 billion IPO on DFM

01/10/2014 00:59 AST

Amanat Holdings (Amanat), a public joint stock company under formation with a proposed capital of Dhs2.5 billion, announced plans to launch its Initial Public Offering (IPO) on the Dubai Financial Market (DFM) creating what will be the largest integrated healthcare and education company in the GCC. The subscription period of the IPO is anticipated to open in the second half of October 2014.

Amanat, founded by a group of 37 prominent local and international investors, plans to raise Dhs1.375 billion at an offer price of Dhs1.00 per share plus offering costs (Dhs0.02 per Offer Share), representing 55 per cent of total share capital, through a primary listing on the DFM. Collection of founders’ subscriptions for 1.125 billion shares at a price of Dhs1.00 per share plus offering costs, representing 45 per cent of total share capital, has been completed.

The ownership stakes of the five largest shareholders are as follows: Rimco Investments (10.00%); Osool Asset Management BSC Closed (10.00%); United Alsaqer Group (5.00%); Astro AD Cayman (5.00%); and Capital Investment (4.00%).

Amanat will use its total capitalisation of Dhs2.5 billion to establish and incorporate companies working in the healthcare and education sectors, and develop, manage and operate these companies within the GCC. As per the company’s business plan, Amanat will deploy 95 per cent of its capital on acquisitions and partnership with existing or under development companies, and use 5 per cent of capital to establish new ventures. Healthcare spending in the Gulf is expected to grow at a compound annual growth rate of 10.7 per cent until 2017, while K-12 and higher education student enrolment figures are predicted to expand at of 5.2% until 2020.

Faisal Bin Juma Belhoul, Chairman of the Board of Amanat, said: “We have reached a pivotal moment for healthcare and education in the GCC, with a clear need for a company with the resources and expertise necessary to bridge the quality and supply gap presently facing the sectors.”

WAM