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Homegrown manpower provider Tamkeen HR priced its IPO top of the indicative range at SAR 50 apiece, according to a statement (pdf). The final pricing will see selling shareholders lock in some SAR 397.5 mn in total proceeds, giving the firm a market cap of SAR 1.3 bn at listing. The institutional tranche of the offering was sold out within hours of opening last week.
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REFRESHER- The labor agency is taking a 30% stake to Tadawul’s main market in a secondary share sale, meaning the firm will not receive any of the IPO’s proceeds. Selling shareholders will take home net proceeds from the sale on a pro-rata basis, after SAR some 25 mn in IPO-related expenses are covered.
The two-day retail subscription kicks off today. Individual investors will be allocated 20% of the total shares on offer, and may book as much as 250k shares each with the lower limit set at 10 shares each.
What’s next? The final allocation of shares will take place on Monday, 11 November, with any excess subscription fees refunded by Wednesday, 13 November. The first day of trading has not yet been set.
ADVISORS- Saudi Fransi Capital is quarterbacking the transaction as lead manager, financial advisor, bookrunner and underwriter, with Stat Law Firm providing counsel to the issuer. Meanwhile, PwC will act as financial due diligence advisor and Euromonitor International is stepping in as market study consultant, and Baker Tilly MKM as auditor. Receiving agents include Saudi Fransi Capital, Al Rajhi Bank, SNB Capital, Riyadh Capital, Albilad Investment, and others.
SAUDI IPO PIPELINE AT A GLANCE-
Among the transactions now in the market or expected soon:
- Fourth Milling Company (MC4) closed the retail tranche of its Tadawul IPO with a 3.9x oversubscription rate this week. The company is taking a 30% stake to market;
- Arabian Mills is selling a 30% stake on Tadawul, with its institutional offering selling out within hours and closing 132x oversubscribed;
- Nice One Beauty Digital Marketing Company has received regulatory approval to offer a 30% stake on Tadawul;
- Shalfa Facilities Management is planning to offer a 15% stake on the Nomu parallel market;
- Naqawa for Information Technology (Purity Tech) is taking a 25% stake public in an IPO on Tadawul’s parallel market Nomu;
- Singapore’s Olam Group is mulling the IPO of its Olam Agri subsidiary on Tadawul;
- Aster DM Healthcare looks set to spin off its GCC assets and seek a dual listing on Tadawul and in the UAE;
- PIF-backed lender Riyad Bank is considering the listing of its investment banking arm Riyad Capital;
- Nupco — a unit of the PIF — has reportedly tapped Rothschild & Co as financial advisor for its potential Tadawul IPO;
- Budget airline Flynas is reportedly looking to go public this year.
