13 April 2022
Clifford Chance acts as Banks' counsel on DEWA's landmark US$6 billion IPO
IPO is the largest ever in Dubai and the first in the government utilities sector
Leading international law firm Clifford Chance has advised Citigroup, Emirates NBD Capital and HSBC (as Joint Global Coordinators) and Credit Suisse, EFG Hermes, First Abu Dhabi Bank and Goldman Sachs (as Joint Bookrunners) in connection with the landmark IPO and listing of Dubai Electricity and Water Authority (DEWA) on the Dubai Financial Market (DFM).
A total of 9 billion ordinary shares, representing 18% of DEWA's issued share capital, were offered in the listing, which will generate approximately Dh22.3 billion (US$ 6.1 billion) of gross proceeds, including commitments from cornerstone and strategic investors amounting to approximately Dh13.8 billion (US$ 3.8 billion).
The transaction represents a historical moment in the region due to it being the largest IPO to date in the Emirate of Dubai, the first in the government utilities sector, and the largest in the Middle East and North Africa since Saudi Aramco's $29.4 billion IPO in 2019. It will also make DEWA the largest company listed on the DFM with a market capitalisation of US$ 33.8 billion.
A cross-border Clifford Chance team advised on the transaction, jointly led by Dubai-based partner and head of the Middle East equity capital markets practice, Mike Taylor, and London-based US securities partner John Connolly, who were supported by senior associates Rezwan Azam (Dubai) and Christopher Osborne (London), and associates Massimiliano Valli (Dubai) and Rachel Sumption (London).
Mike Taylor commented: "We are delighted to have supported DEWA and advise the banks on this historic UAE IPO. This transaction builds on the Firm's leading Middle East equity capital markets practice which also acted for the banks on the recent UAE IPOs and listings of Fertiglobe, ADNOC Drilling, and Mubadala-owned Al Yah Satellite Communications Company PJSC (Yahsat)."