November 15, 2023: Dubai, the bustling commercial hub of the United Arab Emirates, is set to offer 25% of its taxi business through an initial public offering (IPO), marking a significant step towards privatizing state assets and boosting investor interest. The Dubai Taxi Corporation (DTC), the city’s leading taxi operator, will be the entity up for partial privatization, with the IPO expected to take place in December 2023.
The offering will comprise 624.8 million shares, with a subscription period from November 21 to November 28 for retail investors in the UAE and November 29 for institutional investors. The IPO is projected to generate substantial revenue for the government, further strengthening Dubai’s financial position and fueling its economic growth aspirations.
The move to privatize the taxi industry aligns with Dubai’s broader strategy of diversifying its economy and attracting foreign investment. By offering a stake in a well-established and profitable business like DTC, the government aims to enhance market participation and foster greater transparency.
The IPO is also expected to boost Dubai’s capital markets, attracting new investors and invigorating trading activity. The successful execution of this privatization initiative will serve as a testament to Dubai’s commitment to economic diversification and its position as a global business center.