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Emaar Malls Group opts for initial public offering

Emaar Malls Group opts for initial public offering

Going up!

Image: Jou Trip

Emaar Properties, the developer and operator of The Dubai Mall, plans to list 25% of its retail subsidiary, Emaar Malls Group, on the Dubai Financial Market

This week, the operator of the world's largest mall — Emaar Properties —  has announced a plan to float 25% shares of its Emaar Malls Group on the Dubai Financial Market (DFM), as a primary listing.

The date of the initial public offering has not been disclosed yet, but is expected to raise between $2 billion and $2.5 billion.

"The malls business is one of our high-performing subsidiaries," said His Excellency Mohamed Alabbar, chairman of Emaar Properties. "The proposed listing on DFM will enable the business to achieve its true potential."

More than 55% of Emaar Properties' revenues come from its shopping malls, hospitality and leisure, and international operations. In 2013, the malls and retailing unit reported revenue of $800 million, up over 20% from 2012.

"The positive economic indicators of Dubai, led by its status as a global hub for business and leisure and the massive infrastructure development in preparation for hosting the World Expo 2020, are growth drivers for our malls and retail business," he clarified.