In a new vote of confidence in the prospects of Dubai’s capital markets, the Dubai Financial Market (DFM) International Investor Roadshow 2020 has successfully reinforced links between equity and fixed income issuers in Dubai and leading investment institutions in the US, UK and Asia. The event included 162 One-on-One meetings with senior representatives of 61 international funds managing approximately US$ 3.5 Trillions of assets.
The first virtual round of the event was organized in collaboration with HSBC and witnessed the largest participation in its history from companies listed on Dubai’s capital markets as well as international investment institutions that are looking to diversify on both sectoral and geographical levels.
The two-days Roadshow has been concluded on Tuesday, 17 November 2020, enabling 37 senior representatives of 15 equity and debt issuers to showcase their respective companies’ business developments, growth strategies and resiliency in countering repercussions of the COVID-19.
It has also attracted significant participation from international institutions looking to strengthen their presence on the market and seize its diversified and lucrative investment opportunities. The DFM has recently expanded its product offering including the equity futures and ETFs. Moreover, the market is the listing venue for leading companies representing pivotal and growing sectors. These efforts are pivotal to further attract investments to capital markets in Dubai.
His Excellency Essa Kazim, Chairman of DFM said: “International investors maintain their active participation in Dubai capital markets, whether in terms of trading activity or ownership. Our markets are amongst the most welcoming and supporting in the region for international investors’ presence. Within this context, the Roadshow’s significant success conveyed international institutions’ new vote of confidence in the prospects of our markets and its diversified asset classes. The Roadshow has delivered a strong message that international institutions, equity and fixed income alike, are striding to further participate on the market, attracted by its world-class infrastructure, diversified opportunities, dynamism and sustainability as well as the global status of the economy of the UAE and Dubai,”
The DFM has attracted 1952 new international investors this year till end of October including 1531 retails investors and 421 institutional investors. This lifts the total number of international investors registered on the market by end of October to 310,316 investors including 303,374 retail and 6942 institutional. International investors accounted for 51% of trading activity while institutions accounted for 44%.
Hassan Al Serkal, CEO of DFM said: “The Roadshow included 162 One-on-One meetings with representatives of 61 leading institutions in a clear indication on international investors’ enthusiasm to further participate in our market. Our issuers are similarly eager to fortify links with current and potential investors. We are committed to reinforce this mutual interest through international investors roadshows and other IR initiatives. During the 2020 round, we have expanded the geographical coverage to include institutions in Asia and not only in the US and UK as the case in previous events. We plan to include dual listing issuers in the future in order to put them on the radar of international institutions and further enhance our IR excellence program that we have been successfully implementing over the past years,”
Abdulfattah Sharaf, Group General Manager, Chief Executive Officer, UAE & Head of International, HSBC Bank Middle East Limited: “We were delighted with the response to this year’s DFM roadshow, with investors eager to understand how some of the most dynamic and innovative companies in the Middle East are not only managing the impact of the COVID-19 crisis but also how they are preparing to build back better in the months and years ahead.”
Participants welcome Roadshow’s result
Senior executives of participating companies praised the outcome of the event, stressing on its significance at the top of their list of annual investor events, due to the high level of attendees from international institutions.
Emaar Properties’ Amit Jain said: “DFM’s International Investor Roadshow offered Emaar the opportunity to demonstrate our financial strengths and how we continue to deliver long-term, sustainable results across our business units during the challenging conditions the world continues to face due to COVID-19. Our recent financial results showed our resilience and great agility in dealing with the crisis, which was supported by the plans and strategies that we adopted during the early stages of the pandemic. With our sales backlog of AED 40.758 billion (US$ 11.097 billion), to be recognised as revenue in the coming years, Emaar has strong fundamentals across all sectors of our business, underpinned by maintaining a firm grasp on our cost base, reducing our operational costs and effectively managing our risks. Emaar is continuing to invest in technology and customer happiness, which will generate significant long term value. Our International business has generated excellent results with sales being higher than 2019. This is a clear testimony of the effectiveness of Emaar’s diversification strategy.”
Dr. Mohamad Hamade, Chief Executive Officer of Amanat Holdings commented: “We are pleased to have met with a series of investors during the DFM Roadshow to discuss our positioning as the only integrated investment company in healthcare and education in the region. We continue to provide investors access to private companies in resilient sectors with our permanent capital model that enables us to offer a unique opportunity to investors. Our core focus of enhancing total shareholder returns is supported by Amanat’s strong balance sheet, which will enable us to continue to deliver sustainable growth.”
It is noteworthy that list of participating issuers included nine DFM-listed companies namely; Emaar Properties, Dubai Islamic Bank, Emirates NBD, Emaar Malls, Amanat, Aramex, Emaar Development, Damac Properties, and DFM Company. Six issuers of debt instruments that are listed on Nasdaq Dubai and participated in the Roadshow included; Dubai Islamic Bank, Emirates NBD, Commercial Bank of Dubai, Emaar Group, DP World and Majid Al Futtaim (MAF).