Spinneys announces offer price range between AED1.42 and 1.53 per share

Spinneys

Spinneys today announced the price range for the sale of its shares and the start of the subscription period for its Initial Public Offering (IPO) on the Dubai Financial Market (DFM).

The Offer Price Range has been set between AED1.42 and AED1.53 per Share, implying a market capitalisation at the time of listing of between c. AED5.11 billion (c. US$1.39 billion) and c. AED5.51 billion (c. US$1.50 billion).

Spinneys Holding announced that 900,000,000 Shares, each with a nominal value of AED0.01, will be made available in the Offering, representing 25% of the Company's total issued share capital.

All Shares to be offered are existing shares held by Al Seer Group LLC, the selling shareholder, who reserves the right to amend the size of the Offering at any time before the end of the subscription period at its sole discretion, subject to applicable laws and the approval of the Securities & Commodities Authority (SCA).

Emirates International Investment Company LLC (EIIC) and Templeton Asset Management and Franklin Templeton Investments, as investment managers on behalf of certain funds and accounts, will be cornerstone investors in the IPO with a total commitment of AED275 million ($75 million).

The IPO subscription period starts today and is expected to close on Monday, 29th April 2024, for UAE Retail Investors and on Tuesday, 30th April 2024, for Professional Investors.

The final offer price will be determined through a book-building process and is expected to be announced on Wednesday, 1st May 2024.

Admission of Shares to trading on DFM (Admission) is expected to take place on Thursday, 9th May 2024.

Sunil Kumar, CEO of Spinneys, said, "We have seen very strong interest in our IPO since announcing our intention to float, and we are delighted to be opening subscriptions to investors in the UAE and international markets.

"Ours is a business that offers continued growth with a strong track record built on the expansion of our store network, increasing online penetration, our differentiated private label offering, and a vertically integrated supply chain - combining to deliver strong profitability. Our future growth is expected to be further supported by our planned entry into the Saudi market, the introduction of new formats and the expansion of our e-commerce business. We look forward to announcing the final offer price next week and, in due course, welcoming new shareholders to be a part of our growth story."