Emaar Weighs Potential $3 Billion Takeover of Emaar Development, Report Says
Dubai property giant reportedly explores full ownership of its listed subsidiary in a deal that could reshape its corporate structure
Dubai-based Emaar Properties is reportedly examining the possibility of acquiring the remaining stake in Emaar Development, potentially paving the way for a transaction valued at up to $3 billion, according to a Bloomberg News report.
The reported move would involve Emaar Properties increasing its ownership beyond its existing holding of just over 79% in Emaar Development. The potential transaction could give the parent company complete control of the property development business.
According to the Bloomberg report, which cited people familiar with the matter, Emaar Properties could announce plans relating to the proposed transaction within the coming days. However, no formal confirmation of an acquisition has been issued.
Emaar Development valued at approximately $13.68 billion
Emaar Development has a reported market capitalisation of approximately $13.68 billion, based on data from the London Stock Exchange Group (LSEG).
The potential buyout could require Emaar Properties to spend as much as $3 billion to acquire the remaining shares, according to the report.
Such a transaction would represent a significant corporate development for the Dubai real estate group, which already holds a controlling interest in its subsidiary.
Potential changes to Emaar's ownership structure
A full takeover could consolidate Emaar Development's ownership under its parent company, bringing the subsidiary's remaining shares within Emaar Properties' ownership structure.
The development is attracting attention because of the scale of the companies involved and their position in Dubai's property market.
However, details regarding the proposed transaction, including its final structure, timing and terms, have not been officially disclosed.
No official confirmation of the proposed deal
Emaar Properties had not immediately responded to a Reuters request for comment on the reported transaction.
Reuters also stated that it could not independently verify the information published by Bloomberg News.
For now, the potential acquisition remains under consideration according to the media report, rather than a formally announced corporate deal.
Further developments will depend on whether Emaar Properties confirms its intentions and provides details of any proposed transaction.
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