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Al Shafar says IPO not abandoned

|By Arabian Post Staff| Dubai-based Al Shafar General Contracting (ASGC) plans to revive its stalled IPO plan at an appropriate time, according to chief executive Bishoy Azmy.

Al Shafar had made significant progress with its planned IPO last year, but the plan was put on hold in the wake of the market turning bad following the trouble in the global stock markets over problems with the Chinese economy.  The company had been working with Goldman Sachs, EFG Hermes and Emirates NBD for the IPO.

Azmy told Reuters the other day that the company had no immediate need to go public, but it was part of its long-term plan.

“There is nothing happening at the moment but when we think it’s the right time to restart the process then we will. Currently, I don’t see the markets being very receptive to a public offering on the DFM  especially in construction,” Azmy said.

There have been no new listings on the DFM since late-2014 as volatile market conditions and soured investor sentiment have put off companies from selling shares.