Talabat Holding, a leading on-demand online food ordering, delivery, takeaway and groceries and convenience retail marketplace in the MENA region, will list 15 percent of the company’s shares in an IPO on the Dubai Financial Market, the company said on Monday.
A total of 3,493,236,093 shares, each with a nominal value of AED0.04, will be available in the offering.
The subscription period will open on November 19, 2024 and end on November 27, 2024 for UAE retail investors and on November 28 for professional investors.
Admission of the shares for trading is likely to take place on or around December 10.
Dividend policy
The share capital of the company, as at the publication date of the UAE prospectus, is AED931,529,625 divided into 23,288,240,625 shares paid-in-full, with the nominal value of each share being AED 0.04.
Following the offering, the company intends to pay a minimum dividend in an amount of AED367.25 million ($100 million) in April 2025 in respect of the financial results of the fourth quarter of 2024. Moreover, the company intends to pay a minimum dividend in the amount of AED1,469 million in two instalments in October 2025 and April 2026 in respect of the financial results for the year ending December 31, 2025.
Following such distribution, the company will pay dividends twice each calendar year, with an interim payment based on the first-half financial results paid in October of that calendar year, and a second payment following full-year financial results paid in April of the following calendar year, in each case with a target net income payout of 90 percent.
MENA success story
Commenting on the IPO plan, Pieter-Jan Vandepitte, chairperson of talabat, said: “Announcing talabat’s intention to float a 15 percent stake on DFM is a defining moment for talabat and for Delivery Hero. Since Delivery Hero’s acquisition of talabat in 2015, it has become a major MENA tech success story, growing into the leading on-demand food ordering, delivery, takeaway and groceries and convenience retail marketplace and creating amazing experiences and value for partners and customers across the region. Delivery Hero’s global expertise and network have been pivotal in driving talabat’s growth and as the Company enters a new era today, we believe now is the right time for additional investors to play a part in talabat’s continuing success and future.”
Tomaso Rodriguez, CEO of talabat, said: “Today, we are the leading MENA partner of choice for over 65,000 restaurant and grocery businesses, satisfying the everyday needs of over six million monthly active customers, across our eight regional markets. Our deep familiarity with a region that is experiencing strong economic and demographic growth has resulted in a robust financial profile with GMV of $6.1 billion in 2023, a 24 percent CAGR between 2021-2023, and adjusted free cash flow of over $300 million in 2023.”
“As we look into the future, our medium-term outlook reflects multiple growth levers and favourable socioeconomic conditions. With a clear growth strategy and a highly experienced team in place, we are excited to be entering this new chapter of our story, which will see us continue to proudly deliver to the region that delivers,” he added.
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