Al Mal Capital REIT to open AED 220 mn capital raise next month: Dubai-based asset manager Al Mal Capital REIT plans to offer some 200 mn new units at AED 1.10 a piece on the DFM next month, according to its prospectus (pdf). The capital hike will see the fund raise AED 220 mn, and bring its total capital to AED 713.9 mn up from AED the current AED 513.2 mn. The capital raise was announced earlier in May, with plans to to offer up to 300 mn units.

Contingency plan: If the fund falls short of its AED 220 mn target, it may move ahead with what it raises, extend the subscription window by five business days, or cancel the transaction entirely and return funds within five days of cancellation.

What’s next? Subscriptions will be open exclusively to UAE and GCC nationals from Sunday, 7 July to Friday, 25 July (or Friday, 1 August in the case of an extension). Final allocations are slated for either Friday, 1 August or Friday, 8 August, with trading expected to begin Friday 8 August or Friday 15 August.

The offering could be upsized: A 10% greenshoe option could see another 20 mn offered, which would push total proceeds to AED 242 mn, and issuance costs to AED 5.5 mn, up from AED 5 mn now.

ICYMI- Al Mal REIT last tapped markets in 2023 with an AED 180 mn capital increase via a tradable rights issue which had aimed to raise up to AED 440 mn. The fund said at the time it would deploy at least 75% of proceeds in UAE assets and up to 25% elsewhere in the GCC and beyond.

ADVISORS- Al Mal Capital is acting as both fund and issue manager. FAB is the lead receiving bank. Legal advisory is being handled by Al Tamimi & Company, KPMG is the auditor, Standard Chartered is the custodian and admin provider, and CBRE is on real estate valuation.

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