Vijay Valecha, Special to The National July 14, 2021
The company's shares were up about 7 per cent in early market trading on Wednesday
Al Yah Satellite Communications (Yahsat), a unit of Mubadala Investment Company, which raised Dh2.68 billion ($730 million) through its public offering, rose almost 7 per cent on its market debut in Abu Dhabi.
The company’s shares opened at Dh2.75 per share and climbed to Dh2.94 at 10.15am on the Abu Dhabi Securities Exchange. It was the most traded stock with about 47 million shares worth more than Dh140m changing hands on the bourse.
The ADX benchmark index remained flat, however, with its market capitalisation standing at Dh1.24 trillion. The index is up 39.6 per cent since the start of the year.
The company has sold 975.9 million shares, or 40 per cent of its shares, through the IPO, which was “multiple times oversubscribed”, with significant demand from both qualified institutional and retail investors in the UAE, Yahsat said on July 10.
The Emirates Investment Authority has exercised its preferential right to subscribe to 5 per cent of Yahsat’s final offering. The remaining 60 per cent of shares are held by Mubadala’s subsidiary, Mamoura Diversified Global Holding.
Yahsat last week priced its shares in the middle of an earlier indicative price range of Dh2.55 to Dh3.05 a share after the completion of the bookbuilding process. Yahsat’s market capitalisation, which was approximately Dh6.71bn at the beginning of trading, rose to Dh7.42bn.