ADNH Catering, a prominent food and support services provider in the UAE, saw its shares close unchanged on the first day of trading at the Abu Dhabi Securities Exchange, despite spending most of the day in negative territory.
The Abu Dhabi-headquartered company’s shares ended the trading session at Dh0.96 on Wednesday, remaining at the final offer price set during its initial public offering (IPO) earlier this month. The overall market trend was also down, with the Abu Dhabi bourse closing 0.449 percent lower at 9,204.85 points. In contrast, some previously listed companies on UAE bourses experienced significant gains on their debut days.
ADNH Catering recently made its market debut after raising Dh864 million. It priced its shares at the top of the offer price range, valuing the company at Dh2.16 billion. The offering attracted substantial interest from both international and regional investors, being oversubscribed more than 15 times with over Dh13 billion in demand.
The Abu Dhabi-based firm sold 900 million shares in the offering, accounting for 40 percent of its total issued share capital.
Clive Cowley, chief executive officer of ADNH Catering, emphasized the company’s commitment to seizing new opportunities in the UAE and Saudi Arabia while maintaining a focus on excellence and innovation in the catering and support services sector. “As we look to the future, we warmly welcome our new shareholders and look forward to delivering both on our attractive dividend policy and our determined growth plans,” he stated.
ADNH Catering is the eighth offering and the 23rd listing on the Abu Dhabi Securities Exchange this year.
“ADNH Catering brings immense value to our economy, offering investors access to a dynamic industry with strong growth potential, adding new vibrancy to the Abu Dhabi capital market. As the F&B sector in the UAE and region continues to expand due to evolving demographics and a thriving business community, ADNH Catering is well-placed to meet the ballooning demand and fulfill their growth strategies,” said Abdulla Salem Alnuaimi, group CEO of ADX.
Abu Dhabi National Hotels, the parent company of ADNH Catering, has been listed on ADX since January 15, 2001, witnessing significant growth of 360 percent in its market capitalization from its listing to the end of Q3 2024.
Clive Cowley, CEO of ADNH Catering, remarked that the successful listing underscores the strong investor support for the company’s equity story. “We remain focused on expanding our operations in the UAE and Saudi Arabia,” he concluded.
