Abu Dhabi’s Multiply Group to invest $100mn in DEWA IPO
Investment is the latest in a string of strategic acquisitions by the Emirati holding company
Multiply Group, the Abu Dhabi-based, technology enabled Emirati holding company, has announced that it will be investing $100 million in the Dubai Electricity and Water Authority (DEWA) Initial Public Offering (IPO), as a cornerstone investor.
In a statement, the Multiply Group said that its latest investment follows a series of strategic acquisitions, which aim to create a unique technology-enabled ecosystem to pursue growth across five vertical segments: media and communications, utilities, ventures, wellness and beauty, and digital economy.
It added that its diversified portfolio strikes a balance between companies that generate recurring income at a steady pace, and high-growth businesses. Over the past year, the Group has acquired stakes in UAE-based assets with substantial earning potential and international high growth firms, including the US vehicle-focused digital media platform Firefly, global visualcontent firm Getty Images, Rihanna’s direct-to-consumer e-commerce fashion firm Savage X Fenty, PAL Cooling Holding, Emirates Driving Company, and Viola Communications.
Samia Bouazza, CEO and Managing Director at Multiply Group, said: “Our interest in the Dubai utility’s public offering is driven by our confidence in the UAE’s economy. DEWA has successfully cemented its position as one of the region’s leading fully integrated utilities companies by capitalising on its strong market fundamentals and state-of-the-art infrastructure.”
“The company’s unique positioning, attractive financial profile and clear strategic objectives make it an attractive investment for Multiply Group. Furthermore, as regional capital markets continue to perform favourably, we believe that our investment into DEWA will generate substantial value for our shareholders,” she added.
Multiply Group benefits from a strong leverage-free liquidity position, having raised USD$843.99 million in a pre-listing private placement that was 16 times oversubscribed.
Its strategy is to pursue profitable growth through a diversified portfolio striking a balance between steady companies that generate recurring income and high-growth businesses, the statement concluded.
