ADC Acquisition Corporation (ADC), the UAE’s first special purpose acquisition company (SPAC), which plans to raise 367 million dirhams ($99.9 million) through an IPO listing.
ADC, which was set up last month by ADQ, an Abu Dhabi-based investment holding company, and Chimera Investments, said the subscription period will run from 12 May until 19 May 2022.
It said it will float 36.7 million shares with an offer price of 10 dirhams ($2.72) per share. Shares are available for purchase to retail and professional investors and will be listed on the Abu Dhabi Securities Exchange (ADX), the company said in a statement.
Mohamed Hassan Al Suwaidi, Managing Director and CEO of ADQ Holding Company and Chairman of the Board of Directors of ADC, said: “ADQ Holding is committed to expanding the capital markets in the Emirate of Abu Dhabi by providing opportunities for private companies to benefit from its unique investment platform. ADC is committed to supporting this goal, and we are pleased to see the participation of individual and institutional investors from the UAE in this strategy, in an effort to contribute to supporting the country’s long-term growth potential.”
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Early this year, the UAE’s Securities and Commodities Authority (SCA) approved a regulatory framework for SPACs, becoming the first nation in the Gulf to do so.
Quicker access
For his part, Syed Basar Shueb, chairman of Chimera Investments and vice chairman of ADC, said: “With the upcoming IPO on ADX, ADC becomes the first SPAC to be based and listed in the UAE. This will facilitate quicker access to capital and operational expertise, result in lower fees, more transparency and allow investors across the region the opportunity to tap into a highly dynamic and fast-growing new space within the UAE’s capital markets landscape.”
As the first company to be established for acquisitions and mergers in the UAE, ADC targets companies based in or operating in the Middle East and North Africa (MENA) region.
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