Abu Dhabi, 27 February, 2011– On the first day of Insurance House’s IPO, which began today, and continues until 9 March, 2011, all the IPO participating banks across the UAE have witnessed a promising demand.
Majd Maayta, Director of Securities Services at the National Bank of Abu Dhabi said: "On the first day of the IPO of the new company, the offer was well received by the UAE Nationals, where we have received several requests from investors interested in participating".
Maayta added: "Today, the majority of the requests for subscription as a whole were at the minimum prerequisite which is AED 25,000. While it might be well known that usually, the early days of IPOs do not witness significant investments, but it seems that there is a good level of interest among individuals and companies to subscribe to the shares of Insurance House. I expect the number and amount of subscriptions to keep increasing through out the next few days in order for it to reach its peak during the last days of the IPO".
The AED 66 Million IPO, which closes on 9 March, 2011, consists of 55 per cent of the Company's authorized share capital of AED 120 Million. The shares will be listed on Abu Dhabi Stock Exchange (ADX), and further announcement will be made to confirm the listing date. Once listed, the company will immediately open up its shareholding to foreign ownership, to the extent of 20% of the Company’s paid up equity share capital.
The four participating banks, Mashreq Bank, National Bank of Abu Dhabi, National bank of Fujairah, and Finance House, will have a network of branches spread strategically approach across the UAE, allowing maximum exposure. A full prospectus providing full details of the IPO and the company, as well as a summary document and subscription application forms can be collected from the four receiving financial institutions, and further details about the IPO are available on Insurance House website “www.insurancehouse.ae”.