The Dubai Taxi Corporation (DTC), the largest taxi operator in Dubai, has made its grand entry into the Dubai Financial Market with an initial share price of 1.85 AED. The company, now trading under the symbol 'DTC', boasts an international identification number 'AEE01356D236'. This listing marks an important milestone for DTC as it aims to deliver real value to its shareholders while maintaining its dominant market position, holding a 44% market share in Dubai's taxi industry.
Dividend Distribution and Financial Performance
Following its market listing, the newly appointed CEO of DTC, Mansour Al Falasi, announced that the company plans to distribute dividends worth at least 71 million AED for the last quarter of 2023 in April 2024. In addition, DTC intends to distribute a minimum of 85% of the annual period profits as dividends for the fiscal year 2024 and onwards. This decision comes in the wake of the company's impressive financial performance, with net profits nearly doubling in the first nine months of the current year, reaching over 267 million AED, and revenues standing at 1.413 billion AED.
As part of its growth strategy, DTC is aiming for a 100% eco-friendly fleet by the end of 2024. The company's current fleet, which includes over 7000 vehicles, comprises a significant proportion of hybrid or electric vehicles. Aiming to set new standards for electric vehicles suitable for the UAE, DTC has partnered with Kia and also has plans to develop autonomous driving vehicles post-2025.
Record-Breaking Initial Public Offering
The initial public offering (IPO) of DTC witnessed unprecedented demand, with total subscriptions exceeding 150 billion AED ($41 billion). This makes it the largest ever IPO in the history of the Dubai Financial Market, oversubscribed by approximately 130 times at the final offer price. The market capitalization of DTC at listing is anticipated to be around 4.6 billion AED ($1.26 billion).