| Published: September 29, 2023 11:19:57 PM
Spinneys Dubai LLC, the supermarket chain’s franchisee in the United Arab Emirates and Oman, plans an IPO of the company in the second quarter of 2024, three sources with direct knowledge of the matter said, Reuters reports.
Albwardy Investment, 100 percent owner of the franchise, has hired Rothschild & Co to advise it on the planned IPO, the sources said, requesting anonymity because the plans are not public.
It invited banks last week to offer roles in the offering, which are expected to represent up to 30 percent of the business, the sources added.
Spinneys, Albwardy and Rothschild did not immediately respond to Reuters requests for comment.
Spinneys Dubai’s possible IPO, planned on the Dubai Financial Market, would strengthen the small but growing regional food retail sector.
Americana Restaurants, the Middle East and North Africa franchisee of fast food restaurants KFC and Pizza Hut, as well as seller of frozen foods, debuted in a dual listing in Abu Dhabi and Riyadh in December.
Lulu Group, an operator of hypermarkets and shopping centers, plans its IPO in the first half of 2024, its chairman said earlier this month, adding that it had hired Moelis & Co to advise it, confirming a report from Reuters from October 2022.
IPO activity in the Gulf is expected to accelerate after a slowdown from a bumper 2022, when Saudi Arabia and the United Arab Emirates dominated new listings, raising nearly $22 billion, more than half of the total for the Europe, Middle East and Africa region. The mismatched data is displayed.
Middle Eastern companies raised another $5.3 billion in the first half of this year through 23 market listings.
Spinneys Dubai operates more than 65 stores across the UAE, its website says. Additionally, it operates at least seven stores in Oman, Albwardy’s website states.
Albwardy, which claims to have annual sales in excess of $1 billion, also owns the franchise rights to the upscale British supermarket chain Waitrose.
Founded in the mid-1970s, it has a hotel portfolio including several Four Seasons hotels and investments in food distribution, including Nestlé UAE.
Other sectors in Albwardy’s portfolio are manufacturing and engineering, trading and insurance, agribusiness and real estate.