Lulu International To Raise $2.72 For Further Expansion Plans Ahead Of IPO (Image: lulugroupinternational.com)
Lulu Group International, the Abu Dhabi based hypermarket chain which has its presence in over twenty countries, is planning to raise Dh10 billion, that is, $2.72 billion ahead of an Initial Public Offering, IPO. The funds would be allocated to refinancing of existing debts, reports said.
“This injection of funds will empower us to pay off existing debts, further extend our footprint with 80 new hypermarkets across the GCC, Egypt and beyond, enhance supply chain networks and ecommerce capabilities, which will contribute positively to the economies in which we operate,” Khaleejtimes.com quoted a Lulu official as saying.
“With a reputation built on quality, innovation, and customer-centricity,” the official added that “the company is poised to capitalise on emerging opportunities and elevate its global presence to new heights with our IPO plans.”
According to reports, the group is working with Moelis & Co. on the plan.
The group’s plan of raising funds would include Abu Dhabi Commercial Bank, Dubai Islamic Bank, Emirates NBD Bank and Mashreq Bank, one news report quoted a source which didn’t want to be identified.
Lulu Group International was founded in the mid-1990s by Yusuf Ali, an Indian entrepreneur, has its headquarters at Abu Dhabi, UAE and expanded in the 2000s. As per the Group’s website, it has an annual turnover of about $8 billion and employs more than 65,000 people and in 23 countries across the Middle East, Asia, the US, and Europe, its business portfolio ranges from hypermarket operations to shopping mall development, manufacturing and trading of goods, hospitality assets, and real estate.
Recently, in June, the group opened a Hypermarket at Coimbatore, which is being called the biggest hypermarket in Tamil Nadu, employing 5000 people, the Economic Times reported. The report added that group also has plans to look into logistics centres and food processing units in the state for exporting of agricultural products and food products.
