While this has been somewhat on-again, off-again over past months, the New York Times recently reported that DP World, the Dubai government port owner with holdings from Britain to China, plans to raise as much as $3.5 billion in the Middle East’s second-biggest initial share offering.  While I am as yet undecided about the long-term investment opportunity such an IPO may represent, I do agree with the analysis that this may be part of Sheikh Mohammed’s efforts to boost overseas investor confidence and enhance Dubai’s presence in the international capital markets.

“…DP World may sell up to 30 percent of its stock as early as next month to fund expansion and honor convertible bonds sold in 2006, according to Bloomberg. The shares would reportedly be listed on the Dubai International Financial Exchange, which will be renamed as a Nasdaq Stock Market venture after the Nasdaq agreed to buy a 33 percent stake last month.

“This would be the long-awaited opportunity for investors to own equity in one of Dubai’s crown jewels,” Chavan Bhogaita, head of credit research for HSBC Holdings in Dubai, told Bloomberg. “It’s not just about the convertible bonds, but possibly a move by Sheikh Mohammed to boost overseas investor confidence and enhance Dubai’s presence in the international capital markets.”