Abu Dhabi – Mubasher: The Emirates of Ras Al Khaimah has increased its stake in RAK Properties to reach 34.16% following the Securities and Commodities Authority’s (SCA) approval.
This equity raise comes upon the March annual general meeting (AGM) where the government of Ras Al Khaimah expressed confidence to expand their stake in the listed company, subject to the approval from the Abu Dhabi Securities Exchange (ADX), representing a strategic government partnership, according to a press release.
The Emirates of Ras Al Khaimah is currently the largest shareholder in RAK Properties after raising its equity ownership from a previous 5.05%, while United Al Saqer Group holds 7.43% according to the latest data on ADX website.
Chairman of RAK Properties, Abdulaziz Abdullah Al Zaabi, said: “The government's strategic investment and increased stake in RAK Properties underscore their belief in our vision.”
Al Zaabi noted: “This collaboration will not only provide us with the resources to accelerate our growth and innovation but also reinforces our commitment to bringing luxury living to RAK. Together, we are poised to drive forward transformative economic, social, and environmental projects that will benefit Ras Al Khaimah.”
The equity increase is considered a direct result of the growth in revenue and net profit witnessed in 2023 in addition to the robust performance during the first quarter (Q1) of 2024 for RAK Properties.
The listed company stated: “Recognising RAK Properties’ unwavering commitment to developing lifestyle destinations, including its flagship projects Mina Al Arab, Hayat Island and Raha Island, the upweighted stake reflects the Government’s confidence and the perceived value of master plan-led developments and their critical role in the Emirate.”
Earlier in 2024, RAK Properties received the SCA approval to increase the issued capital from AED 2 billion to AED 3 billion.
