Retail subscription to Al Majdiah 18M shares on TASI starts today
The shares offered to retail investors represent 20% of the total floated shares.
The retail offering will end on Aug. 18.
The Capital Market Authority (CMA) approved the company's application last March to float 90 million shares on the Main Market (TASI), representing 30% of its SAR 300 million capital, divided into 300 million shares at SAR 1 each.
The institutional offering ended last week, with a coverage ratio of 107x.
This is the eighth IPO on TASI this year after Derayah Financial on Feb. 20, Entaj on Feb. 26, and Masar on May 5. This is in addition to United Carton Industries Co. (UCIC) on May 27, flynas on June 18, Specialized Medical Co. (SMC) on June 25 and Sport Clubs Co. in July 8.
Tadawul witnessed 14 IPOs last year, following listings by Middle East Pharmaceutical Industries Co. (Avalon Pharma) on Jan. 30, Modern Mills for Food Products Co. on March 5, Miahona Co. and Dr. Soliman Abdulkader Fakeeh Hospital Co. (Fakeeh Care) on May 21, Saudi Manpower Solutions Co. (SMASCO) on May 26, Al Taiseer Group Talco Industrial Co. (TALCO) on May 28, Rasan Information Technology Co. on May 29, Almajed for Oud Co. on Sept. 15, Arabian Mills Co. on Sept. 18, Fourth Milling Co. (MC4) on Oct. 2, Tamkeen Human Resources Co. on Nov. 5, United International Holding Co. on Nov. 19, Almoosa Health Co. on Dec. 23 and Nice One Co. on Dec. 24.
Company Profile
Incepted in 2014, Dar Al Majed Real Estate is a Saudi closed joint-stock company with an issued capital of SAR 300 million. Based in Riyadh, it converted from a limited liability company in 2023 and operates in real estate activities.
By the end of the first nine months of 2024, the company had sold about 1,421 residential units and held 215,000 square meters of saleable land. Projects under construction as of September 2024 exceeded SAR 1.2 billion. Performance indicators for fiscal years 2021–2023 and the first nine months of 2024 are shown in the following table.
Key Performance Indicators
Metric
2021
2022
2023
9M 2024
Units sold
874
1,176
1,220
1,421
Units developed
1,238
1,899
1,366
1,238
Saleable area ('000 sqm)
116.74
170.82
171.48
214.95
Avg. revenue per unit (SAR '000)
850.83
1,002.13
1,088.44
1,097.35
Net profit (SAR mln)
286.85
109.51
147.38
181.50
Real estate inventory (SAR mln)
335.25
275.79
589.58
542.76
Land sold (sqm)
54,174
34,720
2,304
27,181
Projects under construction (SAR mln)
852.23
1,420.57
905.00
1,251.85
As of Sept. 30, 2024, the company held 354 completed units, comprising apartments and townhouses, that remained unsold, including 307 directly owned units expected to be sold in 2025.
Projects developed through investment funds accounted for 50% of total revenue by end-September 2024, while company-owned projects contributed 46%, joint ventures 3%, and third-party developments 13%, as shown in the following table:
Completed Units for Sale – End of September 2024
Project
Category
Type
Location
(Riyadh)
Book Value
(SAR mn)
Al Majdiah 129
Owned
Apartments
Al Qamrah
13
Al Majdiah 130
Owned
Apartments
Al Yasmin
1
Al Majdiah 138
Owned
Apartments
Al Nuzha
3
Al Majdiah 140
Owned
Apartments
Al Narjis
1
Al Majdiah 142
Owned
Apartments
Al Narjis
3
Al Majdiah 143
Owned
Apartments
Al Hamra
26
Al Majdiah 144
Owned
Apartments
Al Narjis
8
Al Majdiah 146
Owned
Apartments
Al Narjis
2
Al Majdiah 148
Joint
Townhouses & Villas
Al Narjis
127
Al Majdiah 154
Joint
Townhouses & Villas
Al Narjis
117
Al Majdiah 156
Fund-developed
Apartments
Al Nada
61
Al Majdiah 181
Fund-developed
Offices
Al Qirawan
75
Majaz
Fund-developed
Offices
Al Janadriyah
83
Al Majdiah 127
Fund-developed
Apartments
Al Malqa
3
Al Majdiah 132
Fund-developed
Apartments
Al Murooj
16
Al Majdiah 133
Fund-developed
Apartments
Al Qamrah
107
Al Majdiah 147
Fund-developed
Apartments
Al Narjis
207
Al Majdiah 139
Fund-developed
Apartments & Townhouses
Tilal Al Riyadh
22
Al Majdiah 145
Fund-developed
Apartments
Al Aqiq
4
Al Majdiah 155
Fund-developed
Apartments
Irqah
23
Al Majdiah owns nine subsidiaries and three real estate funds with varying ownership stakes, including five wholly owned subsidiaries. It also fully owns Al Majdiah Investment Fund, with a capital of SAR 1 billion. The following table outlines the company's real estate funds and subsidiaries:
Al Majdiah Real Estate Funds and Subsidiaries
Entity
Capital
(SAR mln)
Direct Ownership
Indirect Ownership
Mohammed & Khalid Sons of Abdulrahman Al Majed Real Estate Co.
60.00
100%
—
Hossam & Majed Sons of Abdulrahman Al Majed Real Estate Co.
15.00
100%
—
Al Raea Real Estate Co.
0.10
100%
—
AL FKRAA Investment for Development & Real Estate Investment Co.
0.10
100%
—
Nabras Real Estate Development Co.
0.10
100%
—
Taj Al Hudu for Development & Real Estate Investment Co.
0.10
100%
—
Jaddat Al Shati Real Estate Co.
0.50
70%
—
Jaddat Al Rabee Real Estate Co.
0.10
25%
—
Burj Al Raea Real Estate Co.*
—
—
50%
Al Majdiah Investment Fund
1,000.00
100%
—
Aldar Investment Fund
2,000.00
27%
43%
Alnarjis Real Estate Fund
500.00
63.53%
—
*Capital: SAR 500.
Company Info
Company
Dar Al Majed Real Estate Co. (Al Majdiah)
Core activities
Real estate activities
Capital
SAR 300 mln
No. of Shares
300 mln
Nominal Value
SAR 1/share
IPO Info
Offering Size
90 mln shares
Offering Percentage
30% of total capital
Retail Tranche
18 mln shares (20%)
Minimum Subscription (Institutions)
250,000 shares
Maximum Subscription (Institutions)
14.99 mln shares
Minimum Subscription (Individuals)
10 shares
Maximum Subscription (Individuals)
2.5 mln shares
Retail Subscription Period
Aug. 14-18, 2025
Final Allocation
Aug. 20, 2025
Surplus Refund (if any)
Aug. 21, 2025
Major Shareholders
Shareholders
Pre-IPO
Post-IPO
No. of Shares (mln)
Ownership Stake
No. of Shares (mln)
Ownership Stake
Dar Al Majed Holding
173.25
57.57%
121.27
40.43%
Rafid Al-Haditha Investment Co.
22.5
7.5%
15.75
5.25%
AWJ for Development & Investment Co.
22.5
7.5%
15.75
5.25%
Other shareholders
81
27.43%
57.23
19.1%
Public
--
--
90
30.0%
Total
300
100 %
300
100%
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