Talabat Holding, a leading on-demand online food ordering, delivery, takeaway, and groceries and convenience retail marketplace in the Mena region, has announced the price range of AED1.5 to AED1.6 per share for its initial public offering (IPO) on Dubai Financial Market, thus implying a market capitalisation in the range of AED34.9 billion to AED37.2 billion ($9.5 billion to $10.15 billion).
Announcing the start of the subscription period, Talabat Holding said a total of 3,493,236,093 shares will be made available in the Offering, representing 15% of the company’s total issued share capital.
All shares to be offered are existing shares held by the Delivery Hero MENA Holding - a wholly-owned subsidiary of Delivery Hero SE, a public company listed on the Frankfurt Stock Exchange - which 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 SCA.
On the total Offering size, the company said it is expected to be between AED5.24 billion ($1.43 billion) and AED 5.59 billion ($1.52 billion).
The IPO subscription period starts today and closes on November 27 for UAE retail investors and on November 28 for professional investors.
The final offer price will be determined through a book building process and is expected to be announced on November 29. Admission of the shares for trading on DFM is expected to take place on or around December 10, it aadded.
Emirates NBD is acting on behalf of the UAE Strategic Investment Fund 5 SP, Abu Dhabi Pension Fund and Emirates International Investment Company will be cornerstone investors in the IPO with a total commitment of approximately AED918 million ($250 million).
On the IPO, Talabat CEO Tomaso Rodriguez said: "We are delighted to open subscriptions today for the talabat IPO on Dubai Financial Market having seen strong local and international investor interest since announcing our intention to float."
"Talabat was founded in the Middle East in 2004 and today we have over 65,000 restaurants and grocery businesses across our eight Mena countries and over six million active customers using our platform," he stated.
"Our well-defined growth strategy is focused on enhancing our product offering and increasing our market penetration, investing in our innovative FinTech and loyalty programmes, scaling our advertising offerings and exploring adjacent categories, which we believe presents an exciting opportunity for investors," he stated.
"With the region also experiencing favourable socioeconomic conditions with a large and growing addressable market, we look forward to welcoming new shareholders to join us on our journey," he added.
