Lulu Retail IPO: Issue fully subscribed; check price band, offer size and listing date on Abu Dhabi Exchange

Lulu Retail IPO: The initial public offering of Lulu Retail Holdings was fully subscribed within an hour of opening for subscription, reflecting strong demand from investors. The retailer, which has set a price band of United Arab Emirates Dirham (AED) 1.94 to AED2.04 per share, will be listed on the Abu Dhabi Securities Exchange (ADX).

The IPO is open for subscription from October 28 to November 5 for retail investors, company employees and professional investors.

The initial share sale consists of 2,582,226,338 shares, depicting 25% of the company's total issued shares, sold by its shareholder, Lulu International Holdings Ltd. The company's offer size is expected to be around $1.36 billion to $1.43 billion.

The IPO is anticipated to be the largest in the UAE in 2024, exceeding the $877 million issue by oil services company NMDC Energy.

Lulu Retail has also entered into a cornerstone investor deal with Bahrain Mumtalakat Holding Company Co, The Abu Dhabi Pension Fund, Oman Investment Authority and the Emirates International Investment Company.

A cornerstone investor is an investor who agrees to purchase shares before listing.

Lulu Retail IPO: Key dates

• IPO opening date: October 28
• Retail subscription closure: November 5
• Final price offer announcement: November 6
• Allocation and refunds: November 13
• Listing on ADX: November 14

On the proposed listing, Lulu Retail Chairman Yusuff Ali MA said, "As we cement our position as the largest Pan-GCC retailer, with 240 stores across 3 formats, we are proud and excited to invite new shareholders to share in the Lulu journey. We are committed to growing our diverse store network, enhancing our existing stores and providing more products our customers love while rewarding loyal customers."

"With regional macroeconomic and demographic tailwinds behind us, we believe now is a perfect time to bring Lulu to market and further enable our ambitious growth plans," he added.