Day: November 18, 2022

DUBAI, Taaleem Holdings, one of the largest K-12 premium education providers in the UAE with a portfolio consisting of 26 schools, announced on Friday the successful completion of the book building and public subscription process for its Initial Public Offering (IPO) on the Dubai Financial Market (DFM).

The price for the new shares to be issued in the Offering has been set at AED3.00 per ordinary share (the Final Offer Price), the top end of the offering price range.

The Offering size is confirmed at AED750 million, resulting in the issuance of a total of 250,000,000 new ordinary shares (the Offer Shares), equivalent to 25 percent of Taaleem’s total issued share capital. As the offering is a primary offering, the net proceeds of the Offering will go to the Company upon settlement.

The Offering saw significant demand from investors in the UAE and internationally. Total gross demand for the Offering amounted to over AED13.7 billion, implying an over-subscription level of 18 times.

Based on the Final Offer Price, Taaleem’s market capitalisation upon listing is expected to be approximately AED3.0 billion, making it the largest and only dedicated education provider on DFM at the time of listing.

Alan Williamson, Chief Executive Officer of Taaleem, said, “I’m delighted our IPO saw such strong demand from both local and international investors with the Offering 18 times oversubscribed. This is a testament to the quality of our Company and the hard work and dedication of all our teachers and employees. The AED750 million proceeds raised will be used to expand our K-12 premium education network, providing further opportunities for students in the UAE to access our high-quality education offering. As the largest dedicated education provider on DFM, we have a compelling and differentiated growth-focused investment proposition with our IPO helping to further grow and diversify Dubai’s capital markets.”

Investors who subscribed via the First Tranche (the UAE Retail Offering) and Third Tranche (Eligible Employees and Eligible Parents) will receive an SMS confirmation of their respective allocation by 22nd November 2022, with refunds due to commence on 25th November 2022.

Listing and the commencement of trading in Taaleem’s shares on DFM is expected to take place on Tuesday, 29th November 2022, subject to customary closing conditions, under the symbol “TAALEEM” and ISIN “AEE01136T220”.

EFG Hermes UAE LLC and Emirates NBD Capital PSC are acting as Joint Lead Managers.

EFG-Hermes UAE Limited (acting in conjunction with EFG Hermes UAE LLC) and Emirates NBD Capital PSC (acting in conjunction with Emirates NBD Capital Limited) are acting as Joint Global Coordinators.

Emirates NBD Bank PJSC is acting as the Lead Receiving Bank, and Emirates Islamic Bank PJSC and Abu Dhabi Islamic Bank PJSC are acting as Receiving Banks.

Source: Emirates News Agency

DUBAI, The Ministry of Economy honoured 35 UAE companies, graduates of the ScaleUp Export training programme, which was launched by the Ministry in cooperation with global shipping and logistics company UPS under The Entrepreneurial Nation initiative in June 2022.

The programme is designed to help enhance the export capacity of UAE’s startups and SMEs by enhancing the flow of their products and services to global markets.

The ceremony was organised by the Ministry at its headquarters in Dubai, in the presence of Abdullah Ahmed Al Saleh, Undersecretary of the Ministry of Economy, and representatives of UPS in the UAE, during which graduation certificates were awarded to the graduating Emirati companies.

The participants also got to sign exporting contracts with UPS to benefit from special pricing to ship their products and services to targeted foreign markets, which will help enhance their export and expansion capacities abroad.

The companies also got the opportunity to attend 10 workshops including five sessions that focused on suitable market expansions for their products to India, Saudi Arabia, USA, United Kingdom, and Europe. In addition, UPS delivered capacity building programmes including topics such as logistics for e-commerce, customer experience, tariffs & customs regulations and provided technical consultations on export mechanisms to global markets.

Al Saleh said, “The UAE attaches great significance to the SME sector as it is a key pillar to driving economic diversification and growth over the next 50 years. The Ministry of Economy, in line with The Entrepreneurial Nation’s goals, continues to strive to enhance the performance of this sector and elevate it to new competitive levels, while also developing the country’s entrepreneurial environment as per global best practices and in line with the principles of the 50.”

He added, “The ScaleUp Export programme is designed to promote the growth of UAE’s startups by encouraging them to export their products and services to international markets and by offering all enablers to increase their export volumes as well. The programme contributes to supporting the strategic goals of The Entrepreneurial Nation by providing an encouraging environment that is capable of creating successful unicorns in the country by 2031.”

The Ministry of Economy received more than 300 applications from SMEs to participate in the programme with UPS last June. Some 35 companies were selected out of the total number of applicants, and the programme took place over four months, starting from last July until October 2022.

The graduates of the ScaleUp Export programme gained access to experts and advisers from various sectors and took advantage of one-on-one mentoring.

The programme facilitated technical and legal consultations, as well as special shipping prices.

Abbas Panju, Managing Director, Middle East & Central Asia, UPS said, “Our customer first approach enables us to support SMEs build their critical logistics strategies that enables them to reach international markets and grow their businesses. We thank the UAE Ministry of Economy for introducing empowering initiatives for SMEs such as the ScaleUp programme. We are equally glad to hear from the participating SMEs on how the initiative have helped them to expand their businesses and learning imperatives for international trade. At UPS, we believe that through public and private sector collaborations, together we can equip SMEs with advanced knowledge and skills needed to scale their operations and achieve sustainable growth.”

ScaleUp Export falls under the ScaleUp programme, which is one of the three main tracks of The Entrepreneurial Nation, launched in cooperation with UPS. The ScaleUp Export programme supports the export capacity of registered companies by offering them new and distinguished services. It also enhances the access of their products and services to global markets by providing insights on the suitable markets for their products and promoting their development to accommodate the targeted markets.

The Ministry of Economy launched the first phase of The Entrepreneurial Nation in November 2021, successfully providing AED20 million to entrepreneurs and support to more than 1,000 projects by 500 entrepreneurs and owners of SMEs.

It further established more than 35 partnerships, the largest of their kind, between the government the private sector, and prestigious international companies and institutions.

The launch of the second phase of the project was announced by the Ministry at 42nd GITEX last October. Phase II includes the launch of 10 new programmes in collaboration with a large group of international strategic partners, to achieve a fundamental shift in the entrepreneurship environment and support the global growth and expansion of UAE SMEs.

Source: Emirates News Agency

ABU DHABI, AD Ports Group today announced that it has acquired Noatum, a global integrated logistics platform with a presence in 26 countries and LTM revenue and EBITDA of AED6.91 billion and AED555 million, respectively.

The total purchase consideration (Enterprise Value) for 100 percent ownership amounts to AED2.5 billion, implying an LTM EV/EBITDA of 4.6x. This value and earnings accretive acquisition, which significantly broadens AD Ports Group’s global footprint and positions it among the leading logistics and freight forwarding companies in the world, will be fully funded through a new acquisition loan.

Recognising Noatum’s high growth potential and capacity to scale, AD Ports Group intends to create a market-leading international logistics brand, merging its existing logistics business with Noatum to create a significant presence in the region and enhancing services across the company’s global footprint. Moving forward, Noatum will lead AD Ports Group’s Logistics Cluster, consolidating the company’s existing logistics offering into its operations.

This will be AD Ports Group’s third major international acquisition in 2022, following the acquisition of a 70 percent equity stake in Transmar and TCI in September, and the announcement in November of its acquisition of an 80 percent equity stake in Dubai-based Global Feeder Shipping (GFS).

Noatum, whose origins date back to 1963, operates in three business areas – Logistics, Maritime, and Port Terminals – with market-leading positions in Spain and Turkey and a significant presence in the US, UK, China, and Southeast Asia.

Noatum’s global Logistics business specialises in comprehensive freight management, project logistics, contract logistics, international supply chain management, customs, and e-solutions, with offices and a wide network of agents around the world.

In particular, Noatum has advanced capacities in heavy lift logistics, which AD Ports Group aims to bring to the region.

The company’s Terminals operations include 15 Ro-Ro, dry bulk, general cargo and container terminals in Spain, supported by highly professional management, while its Maritime division provides shipping agency services, including outsourcing and ancillary services, and cargo services, such as liquid bulk, breakbulk cargo, reefer and dry cargo.

Despite its geographical diversification, the majority (75 percent) of Noatum’s revenues are EUR and USD denominated.

The company, which employs more than 2,600 professionals, provides tailored multi-modal transport solutions, comprehensive logistics services, and advanced port operations across its key markets, and aligns well with AD Ports Group’s integrated business model.

In addition, the company has specialised automotive, project cargo, and port logistics divisions and offers comprehensive supply chain solutions in the oil & gas, renewable energies, food, industrial manufacturing, pharma and healthcare, and retail industries with customised solutions for clients.

Some revenue and costs synergies of the acquisition include joint purchasing, stronger relationships with shipping lines to attract them to the group’s terminals, expansion of the agency business by leveraging Noatum’s Maritime business, integration of corporate services and functions, transfer of best practices, and best-in-class technology.

Subject to regulatory approvals, the transaction is expected to close in H1 2023. As part of the transaction, Noatum’s management is locked in for a period of three years to ensure smooth integration.

Falah Mohammed Al Ahbabi, Chairman of AD Ports Group, said, “Under the direction of our wise leadership, AD Ports Group continues to extend our global footprint through value-adding acquisitions and partnerships with market leaders. This ambitious acquisition brings a major global logistics platform into the AD Ports Group family, significantly enhancing our global connectivity and extending the range of maritime, logistics and ports solutions we can offer as we continue to pursue a determined strategy for growth. This acquisition makes AD Ports Group one of the most significant global players in the finished vehicle logistics, which we intend to expand in our home and core markets.”

Captain Mohamed Juma Al Shamisi, Managing Director and Group CEO, AD Ports Group, said, “We thank the leadership of the UAE for their guidance and support for this historic acquisition, which is set to be one of the most significant in the industry this year. Bringing Noatum into our integrated network of businesses will add scale and new layers of expertise, supporting both our global ambitions and our contribution to economic diversification within the UAE. Noatum operates an asset-light model with a high cash conversion rate and will make an immediate contribution to our financials, at the same time as positioning us for international expansion. We will leverage the acquisition of Noatum to build a strong international logistics brand with deep roots in this region.”

Rothschild & Co acted as the financial advisor and A&O as the legal advisor while Bain & Co completed the commercial due diligence and PwC the financial and tax due diligence for AD Ports Group in this transaction.

Source: Emirates News Agency