Dubai's Parkin, the public joint stock company tasked to operate and manage public parking spaces in the emirate, has set an IPO price range of 2 UAE dirhams to 2.1 UAE dirhams a share in its 24.9% float.

Parkin marks UAE’s first IPO this year and the company is seeking to raise 1.57 billion dirhams ($429 million) from the IPO.

The offer period for the first and second tranche starts on March 5, 2024 and will close on March 12 and March 13, 2024, respectively.

The number of ordinary shares offered for sale by the selling shareholder, the Dubai Investment Fund, will be 749,700,000 ordinary shares with a nominal value of AED 0.02 (two fils) per share.

Dubai Parkin will reveal the final offer price of the shares on or around March 14, 2024. The listing on DFM is expected to take place on March 21, 2024.

Each subscriber in the first tranche (retail investors) will be guaranteed a minimum allocation up to 2,000 shares. However,  this is subject to the over-subscription Parkin will receive.

The final minimum guaranteed allocation for each subscriber in the first tranche shall be determined at the end of the subscription period based on the total number of the first tranche subscribers and the final offer price.

Emirates NBD Capital, Goldman Sachs Group Inc. and HSBC Holdings Plc are joint global coordinators for the IPO.

Following the offering, the company intends to pay a semi-annual dividend in April and October, with a first payment expected in October 2024 in respect of the full first half of 2024, with investors purchasing shares in the Offering eligible for the full dividend for the first half of 2024.

(Reporting by Seban Scaria; editing by Daniel Luiz)(