DUBAI: Amanat Holdings PJSC has appointed Al Ramz Capital LLC as a liquidity provider for its shares following the approval of the Dubai Financial Market (DFM).
Al Ramz will trade independently of Amanat within defined parameters of a mandate and in accordance with regulatory requirements starting 14 January 2020.
In this context, it’s worth noting that a Liquidity Provider is appointed by a publicly listed company to enhance the liquidity of its shares by maintaining tight spreads, increasing trading volumes, reducing transaction costs and lowering volatility which in turn reduces the overall liquidity risk discount to the price of listed shares of issuers.
Al Ramz is a licensed market maker on the DFM, Abu Dhabi Securities Exchange and Nasdaq Dubai with over 20 years’ experience in the capital markets of the UAE.
Tristan de Boysson, Chief Executive Officer of Amanat said: “This mandate is testament to our continued efforts in creating shareholder value by enhancing the liquidity of Amanat shares, reducing the impact of volatility and improving trading parameters for existing and potential investors. This appointment will succeed the conclusion of the current mandate we have in place with Shuaa Capital International Ltd.”
Mr. Ayman Ghoneim, Chief Operating Officer of Al Ramz Capital, commented: “We are pleased to have been appointed as the Liquidity Provider of Amanat. Amanat is joining a growing number of listed companies in the UAE taking advantage of this service offering, which emphasizes the company’s commitment to ensuring shareholder value and enhancement of liquidity on its shares.”