Tadawul Index Rises Amid IPO Successes

Saudi Arabia’s stock market sees gains, with notable IPO oversubscriptions

Saudi Arabia’s Tadawul All Share Index rose by 35.28 points (0.30%) to close at 11,920.94 on Wednesday. Trading turnover reached SR5.65 billion ($1.50 billion) with 140 stocks advancing and 81 declining.

The MSCI Tadawul Index also saw an increase, gaining 6.50 points (0.44%) to finish at 1,486.63. Meanwhile, the Nomu parallel market dipped slightly by 20.70 points (0.08%) to close at 25,596.22, with 34 stocks up and 35 down.

Red Sea International Co. led the gains with a 9.96% rise to SR53. Other top performers included Alistithmar AREIC Diversified REIT Fund (up 8.02% to SR10.10) and Batic Investments and Logistics Co. (up 5.22% to SR3.63). Conversely, Gulf Insurance Group saw the biggest drop, falling 2.59% to SR32, followed by Tanmiah Food Co. and Walaa Cooperative Insurance Co., which declined by 2.56% and 2.55%, respectively.

In corporate news, Saudi Fransi Capital announced a successful retail offering for Almajed for Oud Co.’s IPO, achieving an 821.33% oversubscription. Priced at SR94 per share, it attracted 236,127 investors, generating SR1.16 billion in demand. Retail investors will receive a minimum of six shares, with additional shares allocated on a pro-rata basis. The institutional tranche will be reduced to 6 million shares, or 80% of the total offering.

Savola Group concluded its rump offering with an 814.2% subscription rate. A total of 35,102,497 unsubscribed shares were sold, generating SR943.45 million. The average sale price per share was SR26.88. Net compensation amounting to SR592.43 million will be distributed to rights issues and fractional share owners. Share deposits will be completed by Sept. 26, with any excess proceeds distributed by Oct. 13.

The Capital Market Authority approved Al-Battal Factory for Chemical Industries Co. to offer 670,000 shares (20.09% of its capital) on the parallel market. This approval is valid for six months and will be canceled if the offering and listing are not completed within this period.

Exit mobile version