Emaar Properties PJSC announced on Thursday it would fully acquire Dubai Creek Harbour, the major development located along the historic Dubai Creek waterfront, from Dubai Holding for a consideration of Dh7.5 billion to be paid equally in cash and shares of Emaar Properties PJSC, thus making Dubai Holding the second largest shareholder of Emaar.
The transaction will “allow Emaar full control over the strategically located land assets of Dubai Creek Harbour, including entitlement to 100 per cent of its generated profit”, the company said in a statement to the Dubai Financial Market.
The deal is expected to close on September 27.
Emaar recorded sales of Dh4.2 billion in 2021 and Dh3.6 billion sales in Dubai Creek Harbour in the first half of 2022. Dubai Creek Harbour has approximately 100 million sq. ft of future development which will provide future profit potential to Emaar.
“The purchase agreement with Dubai Holding represents another important achievement in Emaar’s rich history as we continue to expand our strategic land bank and build sustained value for our shareholders. We are determined to support the government’s vision for sustainable urban development in Dubai while providing a redefined experience for residents and visitors,” an Emaar spokesperson said in a statement.
A spokesperson of Dubai Holding added: “We are pleased to announce the sale of Dubai Creek Harbour to Emaar, subject to finalisation. This is a landmark transaction that benefits both parties. As joint venture partners, we have created meaningful value in Dubai Creek Harbour, and the transaction represents a significant monetisation for us. We look forward to our investment in Emaar as a reference shareholder and the diversification benefits it offers, and we are confident that Dubai Creek Harbour will continue to reach greater heights and success.”