Dubai Developer Emaar to Take Over Mall Unit as Virus Weighs

Emaar Properties to pay 0.51 share for every Emaar Malls share
Property glut, faltering demand drove down prices in Dubai

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By Shaji Mathew and Filipe Pacheco

March 2, 2021 at 4:44 PM UTC

Updated on

March 3, 2021 at 6:10 AM UTC

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Emaar Properties PJSC, the Dubai-based developer of the world’s tallest tower, plans to take over its malls unit as the coronavirus pandemic exacerbates a property downturn in the Middle East business and tourism hub. The shares of both companies gained.

The developer, which already owns 85% of Emaar Malls, proposed to pay 0.51 share for every Emaar Malls share, valuing the business at 24 billion dirhams ($6.5 billion). According to Bloomberg calculations, the offer values Emaar Malls at 1.85 dirhams per share, a premium of about 10% to its last closing price.