Emaar Properties announced on Thursday that it would purchase Dubai Creek Harbour, a real estate development, in a massive Dh7.5 billion ($2 billion) deal.
The leading developer in the emirate announced in a statement that it has agreed to buy Dubai Holding’s stake in their joint venture, Dubai Creek Harbour, from the latter.
Dubai Holding would become Emaar’s second-largest stakeholder after the acquisition, which would be funded equally by cash and Emaar shares, according to Emaar. On September 27, the deal is anticipated to be finalized.
The news was issued following the close of the stock market. According to data provider Refinitiv, Emaar shares have increased 16.5% this year to Dh5.7.
How many shares will be owned by Dubai Holding was unclear initially. The Investment Corporation of Dubai currently owns the most shares in Emaar (24.07%, or approximately 1.97 million), according to Refinitiv.
According to its website, the finished area of the residential, retail, and commercial real estate development known as Dubai Creek Harbour will be six square kilometers.
In the first half of the year, sales in Dubai Creek Harbour totaled Dh3.6 billion, and Dh4.2 billion for the entire year, according to Emaar, the company that built the Burj Khalifa, the highest building in the world, in Dubai.
In an effort to increase activity on its stock market, Dubai recently listed shares in government-owned companies, and further listings are expected.