The capital reduction marks a significant milestone in Union Properties’ three-year operational and financial restructuring plan. Through this step, the company aims to tackle long-standing challenges, including accumulated losses.
Union Properties’ capital will be reduced from Dh4.28 billion to Dh2.85 billion, with the nominal share value adjusted from Dh1 to Dh0.66.
Union Properties, listed on the DFM, has recorded a sharp rise in its share price as investors responded positively to the management’s turnaround initiatives.
Recently, fellow Dubai developer Deyaar implemented a capital reduction strategy to address legacy losses and position the company on a stronger, forward-looking footing.
