Dubai Parks and Resorts Rights issue 1.25 times oversubscribed

DUBAI, 24th May, 2016 (WAM) -- Dubai Parks and Resorts today confirmed that the AED1.68 billion Rights Issue, which was announced on the 19th April, 2016, was oversubscribed at the end of trading on 23rd May, underlining strong investor support. Total subscription as at the close of 23rd of May, 2016, amounted to AED2.1 billion.

The Rights Issue is intended to primarily finance the development of Six Flags Dubai, the fourth theme park within the Dubai Parks and Resorts destination. Rights holders have until Wednesday, 25th May, 2016, to exercise their Rights to subscribe for New Shares in Dubai Parks and Resorts.

Raed Kajoor Al Nuaimi, Chief Executive Officer, Dubai Parks and Resorts, said, "There is no doubt that a significant gap exists for theme park destinations in the regional market and Indian sub-continent. We are pleased to see the extent of shareholder support for the Rights Issue, which confirms investors' appetites to share in the growth of the UAE and of Dubai Parks and Resorts."

The allocation of Additional New Shares will be on a pro-rata basis for persons who subscribed for Additional New Shares, based on the number of Additional New Shares requested by such persons, at the same issue price as the New Shares.

The Rights Issue, approved by Dubai Parks and Resorts' shareholders at the General Assembly Meeting held last month, was launched to raise AED1.68 billion to primarily finance the development of the Six Flags Dubai theme park, an extension of the current Dubai Parks and Resorts offering. Once the Rights Issue has concluded, Dubai Parks and Resorts' issued share capital will become AED7,999,912,670. None of the additional capital being raised will be used to fund the existing Dubai Parks and Resorts offering, which is expected to open in October this year.

Six Flags Dubai will be the fourth theme park at the Dubai Parks and Resorts destination and is expected to include around 27 rides and attractions for all ages when it opens in Q4, 2019.