Axiom Telecom, a UAE telecom equipment vendor, has announced its intention to list 35% of its shares on the Nasdaq Dubai.
The IPO will comprise a primary offering of new shares by Axiom and an offering of existing shares by the firm’s current…
Axiom Telecom, a UAE telecom equipment vendor, has announced its intention to list 35% of its shares on the Nasdaq Dubai.
The IPO will comprise a primary offering of new shares by Axiom and an offering of existing shares by the firm’s current shareholders. Axiom will be the first company in the UAE to carry out an IPO over the past year-and-a-half.
Faisal Al Bannai, founder and CEO of Axiom said: “We see the IPO as a natural next step for Axiom. We see a wealth of opportunity before us and believe this to be an appropriate time to approach both regional and international investors and invite them to participate in this opportunity and our company’s future.”
Axiom will not receive any of the proceeds from the share sale by the current shareholders. The price of the securities will be denominated in US dollars and the sale price established through a book-building process. Deutsche Bank is acting as the sole global coordinator and joint bookrunner.
Citigroup and Shuaa Capital have been mandated as joint bookrunners for the global offering.
The net proceeds from the primary offering are intended to be used towards repaying a portion of Axiom’s existing bank debt, as well as for other general corporate purposes.
The offering is expected to be completed by the end of 2010, subject to prevailing market conditions and regulatory approval.
