Dubai Holding becomes Emaar’s largest stakeholder

A subsidiary of Dubai Holding has become Emaar Properties’ largest shareholder after acquiring the Investment Corporation of Dubai’s (ICD) entire stake.

Following completion of the deal, Dubai Holding has increased its share of Emaar to nearly 30 percent, having taken ICD’s 22.27 percent holding.

Dubai Holding subsidiary Emirates Power Investment now owns 22.27 percent, while EITL DIFC SPC 1 LTD holds 7.45 percent, according to Dubai Financial Market (DFM) data.

No details were given on when the deal was closed. However, the 22.27 percent stake in Emaar is valued at AED24 billion ($6.5 billion) as of Monday’s close at AED12.14 per share on the DFM, according to Bloomberg. The developer’s shares have fallen nearly 15 percent since the start of the year.

The acquisition represents a strategic investment in Emaar, reflecting Dubai Holding’s confidence in the company’s market position, asset quality and long‑term growth prospects, as well as in the enduring fundamentals of Dubai’s economy and real estate sector, the statement said.

Dubai Holding is a global investment holding company owned by Dubai ruler Sheikh Mohammed bin Rashid Al Maktoum. It has investments in more than 30 countries and a portfolio of over AED500 billion worth of assets across sectors including real estate, hospitality, entertainment, retail and media.

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On Monday Emaar said its property sales in the UAE jumped 22 percent year on year in the first quarter, despite the Iran war, supporting double-digit growth in profit and revenue.

The bottom line rose 24 percent annually to AED6.4 billion ($1.7 billion) in the quarter ended March 31, driven by a 23 percent rise in revenue to AED12.4 billion.

Established in 2006, ICD is worth about $340 billion and has Emirates NBD, Dubai’s largest bank by assets, listed on DFM.