In a remarkable debut on the Dubai Financial Markets, Parkin Company witnessed an impressive surge of 30 percent in its share value as trading commenced on Thursday. Within just a minute, the company’s shares soared to Dhs2.74, reflecting a substantial increase of 30.47 percent on its first trading day. Trading activity was vibrant, with 49.18 million shares exchanged, totaling Dhs133.88 million within the initial 10 minutes.
This milestone marked the initiation of Parkin’s journey as the first IPO launch in the UAE for the year, raising a significant capital of Dhs1.6 billion. The pricing of its shares at Dhs2.10 led to a market capitalization of Dh6.30 billion upon listing. Notably, the IPO generated remarkable interest, with an oversubscription rate of 165 times, drawing investor demand amounting to Dhs259 billion, setting a new record on the Dubai Financial Market.
During the week leading to its listing, Parkin made strategic adjustments, enhancing its retail offering by increasing the share allocation to 12 percent for UAE retail investors. This expansion resulted in the rise of ordinary shares offered to 89,964,000 in the retail category. Meanwhile, the tranche for qualified investors saw a slight reduction, comprising 88 percent of the total shares.
Parkin’s emergence follows Dubai Taxi Company’s recent foray into the stock market, commencing trading on December 7, 2023. Positioned as the leading provider of paid parking facilities and services in Dubai, Parkin manages approximately 197,000 parking spaces strategically located across the emirate, solidifying its status as a pioneering force in the region’s market.
tanvir@dubainewsweek.com
