Dubai Investments, a diversified company listed on the Dubai Financial Market, is preparing to sell stakes in four of its subsidiaries through initial public offerings (IPOs), as stated by Khalid Bin Kalban, the company’s vice chairman and CEO. He announced the intention to launch one IPO each year, following thorough internal and external evaluations of the companies involved.

Bin Kalban indicated that the company is currently in discussions with regulatory authorities, some of whom have supported the IPO plans, while others have suggested a delay of about a year to allow for further growth. The authorities believe that the companies should not go public with valuations below $500 million, a target that may take one to two years to achieve, according to Bin Kalban’s comments to Khaleej Times.

The CEO highlighted that the company aims to list its subsidiaries on the Dubai bourse. He emphasized the importance of having conducted evaluations in preparation for the IPOs as well as seeking necessary approvals from regulatory bodies and financial institutions.

In light of the new corporate tax implemented by the UAE, companies are now required to assess their valuations, which adds another layer of complexity to the IPO process.

While global stock markets have faced challenges due to tariff uncertainties following U.S. tax increases on imports, Bin Kalban expressed confidence that such factors would not hinder local firms’ plans to go public. He remarked, “I think the tariff is an overrated issue,” and suggested that the region might even benefit as companies from other nations could consider relocating to the UAE due to high tariffs elsewhere.

Dubai Investments reported a net profit before tax attributable to shareholders of Dh1.3 billion for the fiscal year ending December 31, 2024, an increase of 21% from Dh1.07 billion in the previous year. The company’s total income rose to Dh4.66 billion, driven primarily by property sales of Dh1.03 billion, attributed to strong demand for real estate projects and successful execution of the Danah Bay project in Ras Al Khaimah.

Bin Kalban noted that the company could have achieved even higher profits but had to allocate over Dh270 million in provisions. He mentioned that without this provision, profits could have exceeded Dh1.5 billion to Dh1.6 billion.

According to Khaleej Times, Bin Kalban is optimistic about 2025, indicating that preliminary financial results for the first quarter show profits exceeding 20% compared to the same period last year. He stated, “We started on a very positive note,” and expects to maintain this momentum throughout the year.

Furthermore, Dubai Investments is pursuing aggressive expansion plans in the real estate and healthcare sectors. The CEO revealed that they have acquired 350 000 square feet of land in Ras Al Khaimah for developing 20-25 storey towers and are exploring land acquisitions in other emirates.

The demand for real estate remains strong, particularly for office towers, with significant interest from investors. Bin Kalban mentioned that there is a potential buyer for an entire office tower currently under construction due to a perceived shortage of luxury office space in the market.

In the healthcare sector, Dubai Investments’ subsidiary Globalpharma is also on an expansion path. The company owns about 35% of King’s Hospital, which is planning to expand, and discussions are underway to acquire a new hospital while also increasing its existing portfolio.