Dubai’s Meeras Holding is planning to launch its initial public offering (IPO) of its subsidiary Dubai Parks and Resorts in an effort to support the development of its planned new theme parks and tourist attractions.

The company is looking to raise AED2.5bn ($680.6m). This equates to 2,528,731,083 shares, which represents 40 per cent of the company’s post-offer issued share capital.

The offer price for each share is set at AED1, plus AED0.01 a share in offer costs. The offering will bring the subsidiary’s total market capitalisation to approximately AED6.3bn.

Joint coordinators and bookrunners on the offering are Emirates Financial Services, Goldman Sachs and HSBC Bank Middle East. EFG Hermes UAE is a joint bookrunner, while Shuaa Capital is a co-manager.

Dubai Parks and Resorts will be a leisure and entertainment destination comprising three separate theme parks, a four-star hotel and a retail, dining and entertainment district to be called Riverpark.

The three parks will be based around different concepts. One will be called Motiongate, and will be themed around Hollywood films. The second park will be the Middle East’s first Legoland. The final park will have a Bollywood theme.

The Dubai-based company has partnered with European firms with a track record in developing theme parks including Spain’s Parques Reunidos Servicios Centrales and Merlin Entertainments group (Luxembourg).

The development will be set in approximately 16 million square feet of land. The project is intended to be completed before the end of the third quarter 2016.

The equity portion of the project funding will be provided through the proceeds of the IPO, coupled with Meraas’s previous funding and an initial capital injection.

Dubai Parks and Resorts has also secured the debt financing portion of the deal, Meraas said in an official statement.

The prospectus for the offering is due to be available on 17 November.