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Abu Dhabi Securities Exchange (ADX) said Foodco National Foodstuff has listed its shares on the Second Market, making it the first company to list on the exchange this year.
Foodco, which imports and distributes food and consumer staples, listed 280 million shares with a nominal value of Dh1 per share, giving it a share capital of Dh280m, ADX said in a statement on Wednesday. The listing brings the total number of securities on the exchange to 89.
"Listing of our company's shares on ADX is an important and crucial step in supporting the business’s long-term growth, especially after successfully diversifying its activities in logistics and investment since the parent company was established," Ahmed Al Dhaheri, chairman of Foodco Holding Company, said.
ADX is the second-largest market in the Middle East and North Africa. In 2020, ADX had nine listings on the main and second market, including Sawaeed Holding, Zee Stores, Easy Lease and Palm Sports.
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As of September 2020, Foodco had a cash flow balance of Dh7.3m. Foodco Holding is the majority shareholder of Foodco, controlling 98.75 per cent, or 276.5m of its shares.
"We are pleased to welcome Foodco National Foodstuff to the Second Market, where private companies can start their equity capital market journey and investors can tap into promising early-stage opportunities," Saeed Hamad Al Dhaheri, chief executive of ADX, said.
Foodco National Foodstuff Company's retail and wholesale portfolio includes a range of essential commodities and products, which are marketed through the company’s brands. Basmati rice and Egyptian rice, pasta, oils and canned foods are produced under its various brands. Foodco also trades and distributes other products such as meat, poultry, frozen and canned vegetables, evapourated milk, powdered milk, drinks, tissues, aluminum foil and cleaning products.
Through its fleet of vehicles, warehouses and cold stores, Foodco also provides domestic and international customs clearance, transportation, distribution and warehouse management services through its subsidiary 5PL Logistics Solutions.
"The company’s logistics capabilities have also allowed us to participate in massive UAE government supply projects and Foodco has become the strategic partner of choice for governments and businesses throughout the region due to its solid track record, expertise and reliability," the company's chairman said.