Mon Sep 30 23:58:07 UTC 2024: ## Abu Dhabi National Hotels to Sell 40% Stake in Catering Business via IPO

**Abu Dhabi, UAE -** Abu Dhabi National Hotels (ADNH) has announced plans to sell a 40% stake in its catering business through an initial public offering (IPO) on the local bourse. The move is part of ADNH’s strategy to capitalize on the region’s economic growth and burgeoning tourism sector.

ADNH Catering, which employs over 18,000 people in the UAE and nearly 1,000 in Saudi Arabia, provides food, cleaning, support services, and manpower supply. The IPO will see the sale of 900 million shares, with the offer price to be determined through a book-building process from October 7th to 15th. Listing is expected as early as next month.

The Gulf region has witnessed a surge in IPOs in recent years, fueled by government initiatives to diversify economies and attract investment. Abu Dhabi, specifically, has been aggressively pursuing tourism growth, with a target of 39.3 million tourists by 2030. The emirate is also increasing its hotel room availability to meet this target.

“It’s part of our long-term strategy…and clearly that tourism and travel aspect is high on the agenda,” stated ADNH CEO Clive Cowley, highlighting the company’s commitment to Abu Dhabi’s tourism ambitions. However, Cowley also revealed plans to expand into other segments like healthcare and education, citing Saudi Arabia as a promising growth market.

Citi and FAB have been appointed as joint global coordinators and joint bookrunners for the IPO, with ENBD and ADCB serving as joint bookrunners.

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