Emaar Properties has announced that it would fully acquire Dubai Creek Harbour, a major development located along the historic Dubai Creek waterfront, from Dubai Holding for a consideration of AED7.5 billion ($2.04 billion) to be paid equally in cash and shares of Emaar Properties.
This deal will make Dubai Holding the second largest shareholder of Emaar.
Emaar recorded sales of AED4.2 billion in 2021 and AED3.6 billion sales in Dubai Creek Harbour in the first half of 2022. Dubai Creek Harbour has approximately 100 million sq ft of future development which will provide profit potential to Emaar. A spokesperson of Emaar said: “The purchase agreement with Dubai Holding represents another important achievement in Emaar’s rich history as we continue to expand our strategic land bank and build sustained value for our shareholders.”
A spokesperson of Dubai Holding said:
“We are pleased to announce the sale of Dubai Creek Harbour to Emaar, subject to finalisation. This is a landmark transaction that benefits both parties. As joint venture partners, we have created meaningful value in Dubai Creek Harbour, and the transaction represents a significant monetisation for us.
“We look forward to our investment in Emaar as a reference shareholder and the diversification benefits it offers, and we are confident that Dubai Creek Harbour will continue to reach greater heights and success.”
News Source: Gulf Construction