Tabreed seeks remaining capital

Tabreed or the National Central Cooling Co has asked its shareholders to pay the remaining Dh5 per share between September 25 and October 24.

The company with an authorised capital of Dh500 million has an issued capital of Dh250 million as of now.

Of the 50 million shares with a face value of Dh10, only half, Dh5, have been paid.

Tabreed is the only company in the UAE to offer district cooling utilities, and has more than 75,000 refrigerating tonnes under contract. Several projects are under consideration or in various stages of negotiations throughout the UAE, Saudi Arabia, Kuwait and Qatar.

The job of receiving subscription from shareholders has been entrusted with Union Brokerage Co, a Union National Bank unit. The last traded price of Tabreed on the Dubai Financial Market was Dh5. Its shares had reached a peak of Dh60 three years ago.

Brokers in Dubai said the move had come at the right time when the market was set to be active after a weak summer spell.

"Once the subscription is over, the share price is likely to gain 10 to 15 per cent, taking the price to around Dh11," said Dhaheer Quraish, head of the brokerage in Dubai.

Tabreed's annual report for 2001 stated that the capital work in progress was valued at Dh293.39 million against Dh87.02 million in 2000.

"The increase reflects the company's investments in new projects," it added.

"Tabreed has now achieved the distinction of being a public utility company in the UAE that is well poised for the future, and our various current, and under-negotiation contracts underline our strong and promising position, " Dany Safi, managing director and founder of Tabreed, was quoted as saying in the report.