Damac flotation delay ‘could be a tactical decision’, says Eversheds’ Andrew Nunn

Commenting on news that Dubai-based property group Damac’s London flotation has been delayed, Andrew Nunn, partner at Eversheds, said that there could be a number of factors involved, one of which could be a tactical decision to see whether enhanced investor interest and pricing will be generated by a successful Expo 2020 Bid.

Nunn said that there is already reduced trading activity on UAE markets as investors wait on the sidelines for the bid announcement.

On the other hand, Nunn added, an adverse decision may dampen investor appetite in light of concerns about the Dubai property market overheating.

He said: ‘Although probably unfounded, memories of the last real-estate slump in Dubai are still quite raw and are making investors cautious.’