The pipeline of initial public offerings (IPOs) in the federation took on more concrete form in late April, with the dates set for the sale of shares in Arkan Building Materials Company and announcement of a planned IPO by locally-based shipping firm Gulf Navigation Group.

The IPO of Arkan will be launched on 6 May, and will take the form of a 49 per cent capital increase.

On offer - to nationals only - will be 827.5 million shares priced at AED 1 ($0.27) each. HSBC is acting as financial adviser (MEED 14:4:05).

Arkan will incorporate the building materials assets of government-owned General Holding Company, as well as undertaking a 3.2 million-tonne-a-year greenfield cement project in Al-Ain Industrial Area, at a cost of about AED 1,200 million ($327 million).

The Economy & Commerce Ministry has also approved the planned IPO of shares in Gulf Navigation Group. The timing of the sale has not yet been set. Shuaa Capital is the lead manager and financial adviser.