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2/27/24, 10:34 AM Dubai's Parkin IPO to open March 5 by offering 24.99% in UAE's first stock market float of 2024 | Markets – Gulf News

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Dubai: Be UAE’s first IPO of 2024 will be from Parkin, the Dubai headquartered parking space operator, which is floating

24.99 per cent. Subscriptions open March 5 and goes on until March 12, with the offer price range to be announced on

March 5, according to ad prospectus issued by the company.

Ever since Dubai confirmed the incorporation of Parkin, the anticipation was building up among retail investors for the

IPO. Bis is also the third entity to float and list on DFM from the RTA universe, after Salik and the more recent one from

Dubai Taxi Co.

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Retail investors will get a chance to pick up 10 per cent of the stock float, and guaranteed to receive a minimum of 2,000

shares apiece.

Be minimum application size for the retail tranche is Dh5,000 and thereafter in increments of Dh1,000 apiece.

Parkin accounts for more than 90 per cent of Dubai’s on- and off-street paid parking spaces, and with the ‘exclusive

right’ to operate all public on-street parking and off-street parking. Last year, it had revenues of Dh779.4 million.

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■ Dubai's Parkin will take on opportunities at shopping malls, private developments in future expansion

In sheer numbers, Parkin operates 175,000 parking spaces across 85 locations in the city, another 4,000 or so spaces at

nine MSCPs (multi-storey car parks), and about 18,000 spaces at seven developer-owned facilities.

Parkin closed 2023 with Dh779.4 million in revenues, and that’s consistent top-line growth over 2021’s Dh590.6 million
and Dh686.2 million from 2022.

Be 2023 net profit was Dh414.4 million, from Dh336.5 million.

AS CITY EXPANDS , PARKIN CAN TOO

In its multi-decade urban planning, Dubai is creating new residential and commercial hotspots. And wherever the city

stretches itself out, Parkin can too and which will play well on its revenue projections for the medium-term.

Concession deal with RTA

Parkin’s ‘principal asset’ is the concession agreement with RTA, whereby it will have exclusive rights to operate ‘all

current and future’ paid parking facilities in Dubai. Be agreement is ‘long-dated’ and comes with a tariff ‘uplift’

mechanism to offset inflation.

This is how Parkin will target more future revenue creation:

=. Brough converting a portion of unpaid parking spaces. Bere are about 392,000 such spaces currently.

>. Deals with real estate developers.

?. Adjust zoning in the city's high demand parking space areas.

@. Bring in more digital initiatives to raise efficiency.

A. Offer new commercial activities such as payment channels and renting space to food trucks and companies that build
mechanical car parks. Also, provide car washes and car tinting services.

B. Allow for advertising spaces.

C. Develop geographically where possible.
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