Emaar Properties to sell 25% of mall, retail unit
The proceeds "will be primarily distributed as dividend" to Emaar shareholders, Dubai's biggest listed real estate developer said in a statement on Saturday, without giving a timetable for the offer. The shares to be sold will come from the unit's current equity.
Dubai-listed Emaar's flagship mall is the Dubai Mall, one of the largest in the world, which it says attracted more than 75 million visitors in 2013. The company also built the Burj Khalifa in Dubai, the world's tallest building.
The listing plan underlines Dubai's recovery from its financial crisis, which erupted in 2009. Before the crisis, Emaar talked about listing its shopping mall operations but was forced to put the plan on hold as the emirate's real estate and stock markets collapsed.
Emaar is 31 percent-owned by the Dubai government, which is set to earn a dividend of about $750 million (450 million pounds) from the listing. The malls and retailing unit posted revenue of 2.8 billion dirhams last year, up over 20 percent from 2012, while its gross operating profit increased 20 percent to 2.2 billion dirhams, Emaar said. The company's total revenues last year were 10.3 billion dirhams. ■