Latest news with #SAR1.5bn
Gulf Business
10-03-2025
- Business
- Gulf Business
Derayah Financial debuts on Saudi Exchange after $400m IPO
Image: Getty Images Saudi Arabia's Derayah Financial Company began trading on the Main Market of the Saudi Exchange on Monday, following the successful completion of its initial public offering (IPO), which raised approximately SAR1.5bn ($400m). The IPO saw the sale of 49.95 million ordinary shares, representing 20 per cent of the company's issued share capital, through a partial sale by existing shareholders. The offering was priced at 30 riyals per share, the top end of the indicative price range, giving the company an initial market capitalisation of around SAR7.5bn. Derayah, an independent digital investment platform, is trading under the ticker symbol 4084. Derayah IPO saw strong demand from investors The offering was met with strong demand from institutional and retail investors. Institutional investors, who were allocated 90 per cent of the offered shares, generated an order book worth SAR243bn, equating to a subscription coverage of 162 times the shares available in this tranche. The retail investor tranche, comprising 10 per cent of the offering, saw participation from 586,422 individual investors, generating demand worth SAR2.3bn and achieving a subscription coverage of 15 times. Taha AlKuwaiz, co-founder and chairman of Derayah, described the listing as a 'historic moment' for the company. 'Since our establishment in 2009, Derayah has been committed to empowering individuals to build their wealth by simplifying the investment process. The overwhelming interest in our IPO is a testament to the confidence investors have in our business model and growth strategy,' AlKuwaiz said in a statement. Saudi Arabia's capital markets expansion The kingdom has seen a surge in IPO activity as companies look to capitalise on strong investor appetite and a buoyant stock market. The HSBC Saudi Arabia acted as the sole financial advisor, bookrunner, global coordinator, lead manager, and underwriter for the IPO.
Gulf Business
19-02-2025
- Business
- Gulf Business
Saudi Arabia's Entaj sets final offer price for IPO
Image: Getty Images Arabian Company for Agricultural and Industrial Investment ( The final offer price has been set at SAR50 per share, which is at the top end of the previously announced price range. This pricing reflects an implied market capitalisation of SAR1.5bn (approximately $400m) at listing. Institutional demand for the IPO was overwhelming, with the books being covered within hours of opening. Read: Orders placed by institutional investors exceeded SAR93bn (approximately $25bn), representing a coverage ratio of 208.4 times. The subscription period for individual investors is set to begin on Wednesday, February 26, and will close at 2pm (local time) on Thursday, February 27. Entaj IPO offer details The final offer price for the shares has been confirmed at SAR50 per share, implying a market capitalization of SAR1.5bn at listing. The offering will consist of 9,000,000 ordinary shares, representing 30 per cent of the company's total issued share capital. These shares will be sold by the selling shareholder. Hundred per cent of the offer shares have been provisionally allocated to institutional investors who participated in the book-building process. Should retail investor demand be sufficient, the number of shares allocated to institutional investors may be reduced to 8,100,000 shares (90 per cent of the offer shares). The shares will be listed and traded on the Saudi Exchange's Main Market following the completion of the offering and listing formalities with both the Capital Market Authority (CMA) and the Saudi Exchange. Advisors and receiving agents SNB Capital has been appointed as the lead manager, financial advisor, bookrunner, and underwriter for the offering. Other financial institutions serving as receiving agents for retail investors include SAB Invest, Al Rajhi Capital, Saudi Fransi Capital, Alinma Capital, Riyad Capital, AlJazira Capital, Alistithmar for Financial Securities and Brokerage, AlBilad Capital, ANB Capital, Derayah Financial, Yaqeen Capital, Alkhabeer Capital, GIB Capital, and Sahm Capital.
