Oil and gas producer ADES Holding Co, on Wednesday, said the company confirmed the final offer price for the company’s initial public offering (IPO) and it has completed the process of book-building for institutional investors.
The Dubai-based company’s final offer price for the IPO offering is set at SAR 13.50 per share ($3.60 per share), which implies a market capitalization of $4,065 million at listing. The institutional book-building process ended with a subscription coverage of 62.7 times, while the recorded orders from institutional investors stood at approximately $76,494 million, said the company.
The retail subscription will start on Tuesday, September 26, and is said to last for three days, until September 28. Subscribers must have an active stock portfolio at a capital market institution associated with the receiving agent being subscribed through, said ADES.
Saudi financial regulatory authority, the capital market authority (CMA), in late June, approved the firm’s application for registering its shares and offering of about 338.7 million ordinary shares of the its total capital by way of selling existing 101.6 million shares through ADES Investment Holding Ltd, Public Investment Fund and Zamil Group Investment Ltd.
These companies, in proportion to their existing shareholding, are together referred to as ‘Selling Shareholders’, and will issue 237.1 million new shares for public offering through a capital increase, said the firm. Along with the offering, the company has appointed few experts in the field of financial advisor, global coordinators and lead manager.
