Dubai-based conglomerate Majid Al Futtaim has strongly denied reports that it is considering selling stakes, divesting business lines, or altering its ownership structure. The company issued a firm rebuttal following media speculation about its future, reaffirming its commitment to its long-term strategy under its current governance.
Firm Rejects Sale and IPO Speculation
In a statement on Thursday, the company described recent media reports as “entirely inaccurate, unfounded, and misleading.” The denial followed a Bloomberg article which, citing people familiar with the matter, suggested that government-appointed officials overseeing the group were exploring options including a potential stake sale, an initial public offering (IPO), or the sale of certain business lines.
Majid Al Futtaim stated it “categorically refutes any claims of stake sales, business sell-offs, or changes to our governance or ownership structure.”
Succession and Corporate Structure
The speculation arose in the context of a leadership transition following the death of the group’s founder, Emirati billionaire Majid Al Futtaim, in 2021. In response, the Dubai government established a special judicial committee to restructure the board and ensure a smooth succession for the family-owned business.
Majid Al Futtaim is one of the largest conglomerates in the region, with a vast portfolio spanning retail, real estate, hospitality, and entertainment. The group owns 29 malls, including the Mall of the Emirates and various City Centre locations, which welcome over 178 million customers annually. Its hospitality division includes several major hotels like the Kempinski and Sheraton, contributing to the city’s reputation for world-class service and some of the top 10 dining experiences in Dubai and Abu Dhabi this August 2025.
Investor Confidence and Future Strategy
The company emphasised its stability and commitment to its long-term growth plan. “Majid Al Futtaim remains a proud and resolute stalwart for MENA’s economies,” the statement read, adding that it is “fully backed by our shareholders and our independent Board.” The company asserted there are “no planned changes to our governance, shareholding or makeup of our company,” a significant position in a region where digital startups surge in Dubai as AI, fintech drive new wave of growth.
As evidence of market confidence, the group highlighted a successful hybrid bond issuance on Wednesday. The offering was oversubscribed by more than five and a half times and was issued at a price of 5.75 per cent. The company stated this “overwhelming investor demand underscores the confidence of the global financial community in Majid Al Futtaim’s robust fundamentals and prudent capital management.”
The firm had previously assured that recent updates at its parent company “do not affect the operations or governance” of the business. With a successful bond issue and a firm public stance, Majid Al Futtaim is signalling its intention to maintain its current course while navigating the managed succession process.
