Al Mal REIT to Raise $65.9 Million Through FPO

Al Mal Capital REIT (AMC REIT), the first REIT listed on the Dubai Financial Market (DFM), licensed and regulated by the Securities and Commodities Authority (SCA), and managed by Al Mal Capital PSC, a subsidiary of Dubai Investments, on Monday announced the opening of the subscription period for its Follow-on Public Offering (FPO).

The FPO, approved by the SCA, aims to raise up to $65.90 million by issuing up to 220 million new units priced at $0.31 per unit. The FPO is open to retail and institutional investors across the UAE and GCC, with the subscription period running from 7 July to 25 July 2025.

Al Mal Capital REIT has a proven and stable track record, having delivered a 7% distributed return since 2023, supported by 100% portfolio occupancy with stable lease rentals and a Weighted Average Unexpired Lease Term (WAULT) of approximately 20 years.

The REIT continues to target consistent returns of approximately 7% for investors. The strategic capital raised through the FPO will be used to enhance the REIT’s portfolio by acquiring additional income-generating assets in resilient sectors such as healthcare, education, and mission-critical industrials, further enhancing the REIT’s growth and diversification.

To preserve ownership and minimise dilution, a priority allocation will be available to existing investors in the register of unitholders as of the Record Date (26 June 2025), the company said in a bourse filing this morning.

These investors may subscribe to approximately 39% or more of their current holdings to maintain their ownership share and avoid dilution. A secondary allocation of unsubscribed units will include a Minimum Guaranteed Allocation (MGA) of up to 2,000 units per eligible new subscriber, subject to request and availability.

Allocation in August

The new units are expected to be allocated between 1-8 August 2025, with trading of the same units anticipated to commence on the Dubai Financial Market approximately between (DFM) 8-15 August 2025, subject to regulatory approvals.

Investors can subscribe through the First Abu Dhabi Bank (FAB) bank branches, via online/mobile banking (for FAB clients), through Central Bank’s payment system, or via Manager’s cheque. FAB is acting as the Lead Receiving Bank for the offering.

Al Mal Capital REIT is a closed-ended real estate investment trust that is currently invested in a diversified portfolio of income-generating real estate assets in the UAE, based on secure long-term lease agreements with a strong credit profile. The Fund provides UAE and GCC investors with access to an asset class with long-term fundamentals, based on a strategy focused on investing in real estate assets in strong-performing UAE sectors including healthcare, education and industrial.