Dubai Taxi goes public as IPO announced
Newly formed Dubai Taxi Company authorised to engage in contractual agreements for passenger transportation services with other entities
In a significant move reshaping the transportation landscape of Dubai, His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President, Prime Minister of the UAE, and Ruler of Dubai, has enacted Law No. (21) of 2023, marking the evolution of Dubai Taxi Corporation into a public joint-stock company, now known as ‘Dubai Taxi Company (PJSC).’
This transformation, which includes the initiation of an Initial Public Offering (IPO), grants the company financial and administrative independence, heralding a new era in Dubai’s transportation sector.
Accompanying this law, H.H. Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai and Chairman of The Executive Council, approved Council’s Resolution No. (93) of 2023, outlining Dubai Taxi Company’s Articles of Association. These documents define the company’s objectives, including the introduction of futuristic transportation services like self-driving and flying taxis, and establish regulations for the operation and governance of the company. This includes the election procedures for the Company’s Board of Directors, now chaired by Abdul Mohsin Ibrahim Younis, with Ahmed Ali Al Kaabi as the Vice Chairman.
This rebranding from ‘Dubai Taxi Corporation’ to ‘Dubai Taxi Company (PJSC)’ is mandated across all existing legal references in the emirate. The law also stipulates the company’s longevity, setting its duration to 99 years, subject to automatic renewal under the conditions outlined in the Company’s Articles of Association.
The Dubai Taxi Company (PJSC) is set to provide a range of transportation services, adhering to current emirate regulations. These services extend beyond traditional taxi operations to include leasing vehicles with or without drivers, offering specialised transportation using self-driving vehicles, and potentially operating flying taxi services.
Furthermore, the company is authorised to engage in contractual agreements for passenger transportation services with other entities, provided these contracts align with the new law and existing regulations.
These landmark resolutions, effective from their date of issuance and to be published in the Official Gazette, supersede Executive Council Resolution No. (48) of 2016 and any contradictory legislation. Until new decisions and bylaws are issued, existing regulations and decisions from Resolution No. (48) of 2016 remain effective, provided they don’t conflict with the new law’s articles.
The introduction of Law No. (21) of 2023 represents a strategic step towards modernizing Dubai’s transportation infrastructure, leveraging technological advancements to enhance services and expand the emirate’s global footprint in the transportation sector.
