Pakistan’s PACE set to expand into Dubai’s real estate market

Pace (Pakistan) Limited (PACE) has announced that its Board of Directors has approved plans to purchase a plot in Dubai, UAE, for the development of a commercial project, marking the company’s expansion into the international real estate market.

The listed company, a part of First Capital Group, which owns and operates a diversified business portfolio, shared the development via a notice to the Pakistan Stock Exchange (PSX) on Tuesday.

The Board also approved the incorporation of a subsidiary in Dubai to execute the project.

“The Chief Executive has been authorised to take necessary steps and to complete necessary formalities for the above business plan, the CEO may further delegate her powers as she may deem appropriate,” read the stock filing.

PACE is a public limited company incorporated in Pakistan. The company began its operations in 1995 and is engaged in building, acquiring, managing and selling departmental stores, condominiums, supermarkets, shopping plazas, housing societies, utility stores, plots, as well as other kinds of property.

The company also conducts commercial, industrial and other related activities within and outside Pakistan.

In recent months, several Pakistani companies have expanded their operations in the UAE, especially Dubai.

Earlier in July, Zarea Limited, one of Pakistan’s largest commodities B2B platforms, established a wholly owned subsidiary in Dubai. In June, Ismail Industries Limited, a manufacturer of confectionery items, announced the company’s plans to set up a subsidiary in Abu Dhabi, UAE. Treet Corporation Limited also successfully incorporated a wholly-owned subsidiary, Treet Trading LLC, in Dubai.

UAE’s appeal as the preferred destination for Pakistan’s companies has a lot to do with the streamlined payment process, favourable business environment, and better enforcement of contracts, among a number of other reasons.

Experts believe that incorporating an office in the UAE offers Pakistani companies a strategic advantage, enabling them to leverage a global hub with the required infrastructure and a proper legal framework.