DIP Holding Plc, a subsidiary of Dubai Investments PJSC, has announced an initial public offering price range of AED 1.10 to AED 1.15 per share, implying a market capitalisation of approximately AED 9.5 billion to AED 10.0 billion upon listing on the Dubai Financial Market (DFM). The subscription period opened on October 27, 2026, and will close on November 3, 2026, for all four investor categories.
The IPO involves the sale of 1,735,243,300 existing ordinary shares, representing 20% of DIP Holding’s issued share capital, with an expected offering size of AED 1.9 billion to AED 2.0 billion. Dubai Investments, the selling shareholder, will receive the proceeds and is expected to retain an 80% ownership stake following completion, assuming the offering size remains unchanged. DIP Holding itself will not receive proceeds from the share sale.
The company has outlined an expected annualised cash dividend of AED 700 million for FY2026, AED 725 million for FY2027 and AED 750 million for FY2028. Based on the proposed FY2027 dividend, the offer price range implies an indicative dividend yield of approximately 7.27% to 7.60%. The first post-IPO dividend of AED 350 million, relating to the second half of 2026, is expected to be distributed in April 2027. Future dividends remain subject to the necessary approvals, available reserves and other applicable conditions.
The offering is divided into four tranches, with 5% allocated to individual subscribers, 92% to professional investors, 1% to eligible Dubai Investments group employees and 2% to eligible Dubai Investments shareholders. Individual subscribers are entitled to a minimum allocation of 2,000 shares if successful, subject to the prospectus terms. Eligible employees and shareholders have a conditional minimum allocation of 5,000 shares. For the shareholder tranche, eligibility is determined by the October 28, 2026 record date, with October 26 being the last trading day to acquire qualifying Dubai Investments shares.
The final offer price will be established through book-building based on professional investor orders and is expected to be announced on November 4, 2026. Final allocations and refunds for the individual, employee and eligible shareholder tranches are scheduled to begin on November 10, followed by the anticipated DFM listing on November 11, subject to regulatory approvals and market conditions.
DIP Holding owns Dubai Investments Park Development Company, which operates Dubai Investments Park, a 23 million-square-metre ground rent and services platform in Dubai. Its business provides infrastructure-enabled, long-term ground leases across industrial, logistics, residential and commercial developments, generating income from land leasing and associated services.
The Internal Shariah Supervision Committees of Emirates NBD and Dubai Islamic Bank have issued pronouncements stating that, in their view, the offering complies with Shariah principles. The IPO also includes a potential price stabilisation mechanism managed by xCube LLC, covering up to 10% of the offered shares during the permitted post-listing period.
The offering represents a partial divestment by Dubai Investments and is expected to introduce DIP Holding as a separately traded company on the DFM, providing public-market exposure to its established ground-leasing and infrastructure services business.
Disclaimer: This article is for informational purposes only and should not be construed as investment, financial, or legal advice.
