Emaar Properties set to remove cap on foreign ownership

A special resolution to be tabled at Emaar’s shareholder meeting next month will include a proposal allowing foreigners to hold 100% ownership in the company.

According to a document available on the Dubai Financial Market website, the board has recommended that there be “no shareholding limit for non-UAE nationals”.

Under the current rules, foreigners can own only up to 49% of Emaar’s shares.

The resolution also states that “all the company’s shares are nominal, and there is no minimum shareholding for UAE nationals and GCC nationals in the company”.

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Shareholders will vote on 21 September at the meeting, which will be held remotely and also at the Address Boulevard Hotel, Boulevard Ballroom, in Dubai.

They will also vote on whether to increase Emaar’s capital by issuing 659.05 million shares at Dh1 each, taking total capital to Dh8.83 billion.

The news comes as Emaar looks to finance a Dh7.5 billion deal with Dubai Holding to acquire Dubai Creek Harbour development’s land and assets.

The money is to be paid equally in cash and shares of Emaar Properties, a move that would make Dubai Holding the second largest shareholder of Emaar.

Earlier this month, Emaar Properties posted revenues of AED 13.6 billion in the first half of 2022, growth of 10% compared to H1 2021.

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“The post-pandemic uptick in the real estate market and strong recovery of our mall, hospitality and retail assets increased our second quarter profit this year, in comparison to the same period in 2021,” a spokesperson said.

“On a macro-economic level, Dubai’s growing economy and recent changes in areas such as commercial companies law and visa regulations are driving growth and attracting investment across many sectors, which indirectly increases demand for our products, underpinned by our continued focus on delivering high quality products and experiences that surpass our customers’ expectations,” they added.