Osama Bishai, the chief executive of Orascom Construction. The company has won a major deal in Egypt. Rebecca Rees for The National
Osama Bishai, the chief executive of Orascom Construction. The company has won a major deal in Egypt. Rebecca Rees for The National
Osama Bishai, the chief executive of Orascom Construction. The company has won a major deal in Egypt. Rebecca Rees for The National
Osama Bishai, the chief executive of Orascom Construction. The company has won a major deal in Egypt. Rebecca Rees for The National

Markets

Orascom rises 2.8% in first day of trade at Nasdaq Dubai

Listing on Nasdaq Dubai marks the split of the construction and engineering businesses away from Orascom’s chemicals and fertilizer operations, which will remain listed in the Netherlands.

Frank Kane

March 09, 2015

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Orascom Construction, the contractor spun out of the Egyptian conglomerate, turned in a respectable first day’s trade on the Nasdaq Dubai stock exchange, with a 2.8 per cent rise to US$14.69.

Listing on Nasdaq Dubai marks the split of the construction and engineering businesses away from Orascom’s chemicals and fertilizer operations, which will remain listed in the Netherlands.

The demerger process will be completed when OC lists on the Cairo stock exchange in a few days.

“We are excited to be in Dubai,” said Osama Bishai, the chief executive. “The listing here will provide our institutional investors with a base that is denominated in dollars. We believe investors in the Middle East have a better understanding of construction.”

Mr Bishai added that Orsacom investors had tended to be long-term holders since it was first listed 15 years ago. But he said that he expected some Dutch investors to exit the stock once the shares were listed in Dubai and Cairo.

The value of shares traded in Dubai was about $7.8 million. Yesterday’s session high reached $14.75.

OC will begin trading in Cairo in the next couple of days. No new money has been raised in the Nasdaq listing, but new shares equivalent to 11 per cent of total market capital will be issued in Cairo.

The beginning of trading was marked by a bell-ringing ceremony by Mr Bishai; Essa Kazim, the governor of the Dubai International Financial Centre; and Hamed Ali, the chief executive of Nasdaq Dubai.

It is the Dubai market’s first deal under a strategy of cooperation that was signed last year with the Egyptian stock market authorities to enable common listings.

fkane@thenational.ae

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COMPANY PROFILE

Company name: SimpliFi

Started: August 2021

Founder: Ali Sattar

Based: UAE

Industry: Finance, technology

Investors: 4DX, Rally Cap, Raed, Global Founders, Sukna and individuals

Ten tax points to be aware of in 2026

1. Domestic VAT refund amendments: request your refund within five years

If a business does not apply for the refund on time, they lose their credit.

2. E-invoicing in the UAE

Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption. 

3. More tax audits

Tax authorities are increasingly using data already available across multiple filings to identify audit risks. 

4. More beneficial VAT and excise tax penalty regime

Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.

5. Greater emphasis on statutory audit

There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.

6. Further transfer pricing enforcement

Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes. 

7. Limited time periods for audits

Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion. 

8. Pillar 2 implementation 

Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.

9. Reduced compliance obligations for imported goods and services

Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations. 

10. Substance and CbC reporting focus

Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity. 

Contributed by Thomas Vanhee and Hend Rashwan, Aurifer

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