A Dh2.7 billion property development will be among the projects pursued by a new publicly traded real estate company, officials in Ras Al Khaimah said.
The RAK Real Estate Co was set up in line with Decree No 5 of 2005 issued by His Highness Shaikh Saqr Bin Mohammad Al Qasimi, Member of the Supreme Council and Ruler of Ras Al Khaimah. The company's initial capital has been set at Dh2 billion, company representatives said.
The company will issue two billion shares at a cost of Dh1 each, with a Dh0.1 fee per share to cover the costs of starting the company.
Its first project will be to carry out large-scale renovations in parts of Ras Al Khaimah, company representatives said.
The company will also undertake a new Dh2.7 billion development called the Mangrove Project covering 700,000 square metres.
A large number of shares have been sold to the Ras Al Khaimah Government and other initial investors.
The remaining shares will be sold to the public from March 19. The company's headquarters will be in Ras Al Khaimah.
The company's accounts are spread among RAK National Bank, Abu Dhabi National Bank, International Commercial Bank and Mashreqbank.
According to Shaikh Saqr's decree, the company's main activities will include construction, the purchase and sale of real estate, property rental and the renovation of existing buildings.
The founding shareholders do not have the right to trade their shares under conditions that violate the Commercial Companies Law (Decree No. 1 of 1984).
The company's articles of incorporation and basic internal structure also cannot be amended in ways contrary to the Commercial Companies Law, the decree said.
Any attempted amendment will not be valid unless approved by the Ras Al Khaimah Government, the decree said.
The company will also be directly involved in major development and tourist projects in the emirate, company representatives said.