Talabat Holding plc, the parent company of the popular food delivery and grocery platform Talabat, has announced its intention to float on the Dubai Financial Market (DFM). This move marks a significant milestone for the company and highlights the growing interest in technology and consumer services companies in the UAE’s financial markets.
The subscription period for the UAE Retail Offering is set to run from 19 November 2024 to 27 November 2024, while the Qualified Investor Offering will be open from 19 November 2024 to 28 November 2024. These offerings will be available to UAE Retail Investors, including eligible Talabat employees, and Professional Investors outside the United States, including those in the UAE.
Subscription Details and Pricing
The offer price per share will be determined through a book building process during the subscription period. UAE Retail Offering participants will subscribe for shares at the established Offer Price. The Internal Shariah Supervision Committee of Emirates NBD Bank PJSC has confirmed that the Offering complies with Shariah principles, although investors are advised to conduct their own due diligence.
Capital Structure and Dividend Policy
Following the Offering, Talabat intends to implement a robust dividend policy. The company plans to pay a minimum dividend of AED 367.25 million in April 2025 for Q4 2024, followed by a minimum dividend of AED 1,469 million for the 2025 financial year, paid in two installments. Talabat aims to maintain a target net income payout of 90%, with dividends distributed twice each calendar year.
The admission of Talabat’s shares to trading on the DFM is expected around 10 December 2024, subject to market conditions and regulatory approvals. Several prominent banks have been appointed as joint bookrunners and receiving banks for the IPO, including Abu Dhabi Commercial Bank PJSC, Barclays Bank PLC, and Goldman Sachs Bank Europe SE, among others.
