Emaar Properties Offers $16.3 Billion to Buy Out Emaar Development

Emaar Properties PJSC offered to acquire the remaining shares of its construction subsidiary, Emaar Development PJSC, in a deal that values the firm at 60 billion dirhams ($16.3 billion). The real estate developer, which already holds a stake of just over 79%, plans to pay 15 dirhams per share ($4.08) for the remaining equity, an estimated cost of 12.6 billion dirhams.

The move follows initial reports that the company was considering a multibillion-dollar buyout. By taking the construction arm private, Emaar Properties intends to gain greater flexibility to deploy cash toward international expansion, recurring-income assets, and dividends.

Both companies are currently facing valuation pressures stemming from a nine-month regional war with Iran. The potential delisting occurs amid a trend of exits from the Dubai stock market, including previous departures by Emaar Malls and Damac Properties PJSC. While the local housing sector remains resilient, these moves have raised concerns regarding broader investor confidence in the regional market.