RIYADH: On the Tadawul main market, Saudi wheat flour manufacturer Arabian Mills for Food Products Co. has set the final price of its initial public offering at SR66 ($17.59) per share. Local and foreign investment institutions placed orders totalling SR134.1 billion with the company during the book-building phase for the IPO of about 30% of its shares on the Saudi Stock Exchange.
The offer price was set at the upper end of the range after the firm revealed that the institutional offering had been oversubscribed by roughly 132 times. This suggests SR3.387 billion would be the company’s market capitalisation upon listing. Consequently, the net proceeds of the SR1.02 billion raised through the IPO will be distributed to the current stockholders.
Sulaiman Abdulaziz Al-Rajhi International Co., the National Agricultural Development Co., and Abdulaziz Alajlan Sons for Commercial and Real Estate Investments are among the shareholders who will receive SR1.02 million in total from this public offering.
On September 1, Arabian Mills announced that HSBC Saudi Arabia would serve as the institutional subscription’s lead manager, bookrunner, financial adviser, and underwriter. The offering’s price range was set between SR62 and SR66.
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