Clifford Chance Leads Advising Role for Al Ansari Financial Services' Successful IPO

Clifford Chance Leads Advising Role for Al Ansari Financial Services' Successful IPO

Al Ansari Financial Services has recently completed a successful Initial Public Offering (IPO) and listing on the Dubai Financial Market (DFM), with international law firm Clifford Chance serving as the company's international issuer's counsel.

Al Ansari Financial Services has finalised the offer price for its IPO at AED 1.03 per share following the completion of the book building and subscription process on March 24, 2023.

The price was set at the upper end of the previously announced range due to significant demand from both the Qualified Investor Offering and the UAE Retail Offer. Total gross demand for the IPO, including cornerstone investor National Bonds, surpassed AED 12.7 billion.

Al Ansari, which was established in 1966, boasts over 200 branches throughout the UAE, making it one of the largest exchange companies in the region. The company has also become one of the first family-owned businesses in the UAE to go public.

A total of 750,000,000 shares, which represents 10 per cent of the group's issued share capital, will begin trading on the DFM on April 6, 2023.

Following the successful completion of the IPO, Al Ansari Holding will retain ownership of 90 per cent of the Group's issued share capital.

The final price of the IPO saw the Global Offering oversubscribed by roughly 22 times, not including the AED 200 million cornerstone tranche. The Qualified Investor Offering, which included AED 200 million in commitments from National Bonds Corporation Sole Proprietorship P.S.C, garnered over AED 10.2 billion in orders, with qualified investor books being covered more than 19 times after excluding the cornerstone tranche.

Both regional and international investors displayed a strong interest in the Qualified Investor Offering, with many hailing from the UAE, Saudi Arabia, and other GCC countries. This level of participation highlights the Group's strong brand recognition throughout the region.

A team comprising members from multiple jurisdictions advised on the transaction, with the leadership shared by Mike Taylor, partner and head of the Middle East ECM practice in Dubai, and Chris Roe, ECM partner based in London.

The team also included John Connolly, a US securities partner based in London, corporate/regulatory partner Jack Hardman in Dubai, as well as senior associates Rezwan Azam in Dubai, Anjaneya Das, and Drew Rundus in London. Additional support was provided by associates Massimiliano Valli in Dubai, Kelly Frevele and Radhika Sharma in London, and trainee solicitor Tehzeeb Bukhari in London.