A general view shows the Dubai Financial Market in Dubai. AP

Dubai Electricity and Water Authority (Dewa) is looking to raise as much as Dhs8.06 billion ($2.19 billion) in its initial public offering, marking the largest such deal in the emirate since DP World in 2007.

The state utility firm's public share sale kicks off the first of 10 planned listings of state-linked companies aimed at reviving Dubai's local bourse.

Dewa set an indicative range for its shares on Thursday, with the company selling 3.25 billion shares, or 6.5% of existing shares, at between Dhs2.25 and Dhs2.48 dirhams each, according to a statement.

Saeed Mohammed Al Tayer, Managing Director & Chief Executive Officer of DEWA, said, “DEWA has a fundamental role to play in the growth of Dubai’s economy and is central to the Emirate’s transition to net zero carbon emissions by 2050. This IPO represents an opportunity for investors to participate in a unique growth story that is underpinned by the ambition of Dubai and the United Arab Emirates.

"Since announcing our intention to float on the Dubai Financial Market last week, we have received strong interest from local and international investors that recognise our determination to shape a green future for Dubai.

"This interest also reflects the confidence in DEWA, which keeps pace with Dubai’s expanding economy and population by developing a world-class competitive infrastructure to consolidate Dubai’s position as a global city and provide electricity and water services according to the highest global standards of availability, reliability, quality and efficiency, while maintaining a world-class governance system and continuous record of good governance across all its operations. We are looking forward to welcoming our new shareholders when we formally list in the coming weeks.”

An implied market capitalisation of as much as $33.76 billion would make Dewa the largest company on the Dubai Financial Market by market value, it said.

The IPO subscription for institutional and retail investors kicks off on Thursday, and the company expects shares to list and trade on the Dubai Financial Market on April 12.

Details of the offering price range

The price range for the Offering has been set at between Dhs2.25 and Dhs2.48 per share.

A total of 3.25 billion shares, equivalent to 6.5% of DEWA’s existing shares, will be offered, with the Selling Shareholder reserving the right to increase the size of the Offering at any time prior to the end of the subscription period at its sole discretion, subject to applicable laws and approval of the Securities & Commodities Authority (SCA). All shares to be offered shall represent the sale of existing shares held by the Government of Dubai.

The total Offering size is expected to be between AED 7.31 billion (US$ 1.99 billion) and AED 8.06 billion (US$ 2.19 billion), implying a market capitalisation at listing of between AED 112.50 billion (US$ 30.63 billion) and AED 124.00 billion (US$ 33.76 billion), which would make DEWA the largest company on the DFM by market capitalisation.