UAE developer Damac Properties is preparing to launch an initial public offering by year-end or early 2009 and aims to list on the Dubai Financial Market, a report said.

Deutsche Bank is lead advisor for the IPO, the Emirates Business reported, citing a person familiar with the matter who declined to give further details.

Damac Properties chief executive Peter Riddoch declined to comment. Damac spokesman Niall McLoughlin said it would be inappropriate for the company to comment on market speculation.

Officials at Deutsche Bank also declined to comment.

Privately-owned Damac said last year it could wait until 2009 to sell shares to the public after expanding into India and China and growing its project portfolio by 50 percent to $45 billion.

The UAE, which includes the Gulf trade hub of Dubai, changed its laws in August 2007 to allow families to retain up to 70 percent of firms they put up for sale to the public.

Damac listed shares in its Kuwaiti unit Damac Kuwaiti Holding in April after selling stock worth 10 million Kuwaiti dinars ($37.40 million). It said at the time it wanted to expand to Iraq by investing real estate and banking and may sell Islamic bonds to help fund its expansion plans.

The Dubai-based company said in June it plans to begin work on a $15 billion development in Iraq's Kurdistan region this year aimed at Iraqi expatriates returning home. - Reuters