In a time of flourishing growth and economic prosperity in the United Arab Emirates, the Dubai real estate market continues to shine. Recently, Mohamed Alabbar, the renowned UAE businessman and founder of Emaar Properties, made headlines with his announcements about Emaar’s dividends and Noon’s potential initial public offering (IPO). These developments shed light on the vibrant real estate sector in Dubai and its ripple effects on the broader business landscape.
Emaar’s Dividend Increase: A Testament to Dubai’s Property Market Strength
Amidst Dubai’s ongoing economic expansion, Emaar Properties, the largest listed developer in the emirate, reported a remarkable 15 percent surge in first-half profits. With net profit reaching a staggering Dh4.9 billion ($1.3 billion) for the first half of the year, Emaar’s commitment to shareholder rights shines through.
Mohamed Alabbar stated that “investors will submit a proposal to Emaar Properties’ board of directors to discuss increasing dividends for shareholders in 2023.” This announcement reflects the company’s financial prowess and the confidence it inspires in its investors.
Alabbar expressed his optimism, believing that Emaar Properties will “continue to achieve favorable financial results in the upcoming quarters.” This confidence is underpinned by Emaar’s strong sales track record, which indicates sustained growth.
Furthermore, Emaar’s forward-thinking board is busy developing long-term strategies, spanning the next 15 to 20 years. These plans encompass new projects, expansion into new markets, strategies for mitigating future risks, and investments in human capital. Such vision and commitment to sustainable growth underscore Dubai’s resilience in the real estate sector.
Noon’s IPO Plans: The Future of E-Commerce in the Arab World
On the e-commerce front, Mohamed Alabbar confirmed that Noon, the online retail giant he co-founded, does not have immediate plans for an IPO. However, he left the door open for future possibilities, stating that “such a step will be taken into consideration in the future, especially as the Arab world is in need of a publicly listed e-commerce entity.”
Noon is currently concentrating its efforts on accelerating growth and expanding its footprint in key markets, including the UAE, Saudi Arabia, and Egypt. While new markets are on the horizon, Noon’s primary focus remains on establishing a strong presence in its core markets.
In 2022, Noon secured its position as the fifth-largest e-commerce player in the UAE, boasting revenue of $167.6 million. It’s worth noting that Amazon.ae led the UAE market with revenues of $477.6 million, followed by namshi.com and carrefouruae.com.
With Noon’s potential future IPO, Dubai’s business landscape stands to gain a major player, reflecting the region’s commitment to innovation and market growth.
Americana Restaurants: A Growing Appetite for Expansion
Apart from his roles at Emaar and Noon, Mohamed Alabbar also chairs Americana Restaurants. He described the listing of Americana’s shares on the stock markets of Abu Dhabi and Saudi Arabia as a “monumental turning point in its history.”
Americana Restaurants is poised for further expansion, with plans to launch approximately 250 to 260 new outlets by year-end. The primary focus of this expansion effort is set on key markets such as the UAE and Saudi Arabia.
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