(Bloomberg) --

Dubai boosted the size of its road-toll operator’s initial public offering by 25% to $1 billion on stronger-than-expected demand, underscoring continued interest in Middle Eastern listings despite lower oil prices and a weak global backdrop.

The government will now sell 1.87 billion shares in Salik PJSC, representing a 24.9% stake in the company, it said in a statement on Friday. The initial plan had been to sell a 20% stake. The offer price remains unchanged at 2 dirhams ($0.54) per share.

The increase in size comes after investors snapped up all shares on offer within hours of the IPO opening on Tuesday. Middle Eastern listings have a been a bright spot in an otherwise slow market for share sales globally, as inflation fears and volatility have weighed on investors’ confidence.

The institutional tranche of the IPO will increase to 1.72 billion shares, representing 92.2% of the deal, while retail investors will get 146 million shares. The cornerstone investor tranche remains unchanged.

Salik is Dubai’s third IPO this year, following the floats of the city’s main utility Dubai Electricity & Water Authority and business park operator Tecom Group as part of a government plan to boost trading volumes by listing state assets.

The institutional offering will end on Sept. 21, with trading expected to begin on Sept. 29.

Bank of America Corp., Emirates NBD and Goldman Sachs Group Inc. are arranging the listing alongside Moelis & Co., the financial adviser for the IPO.

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