CMA approves the offering of 9.09% of “Umm Al-Qura” shares for public subscription

The Capital Market Authority approved the request of Umm Al-Qura for Development and Construction Company to register its shares and offer (130,786,142) shares for public subscription, representing 9.09% of the company’s total shares, provided that the prospectus is published well before the start of the subscription.

According to the Authority, the prospectus will contain the information and data that the investor needs to review before making a decision to invest or not, including the company’s financial statements and comprehensive information about its activity and management.

It added that the decision to subscribe without reviewing the prospectus and studying its contents may involve high risks. Therefore, the investor must review the prospectus, which contains detailed information about the company, the offering and risk factors, and study it carefully to be able to estimate the feasibility of investing in the offering or not in light of the associated risks. If it is not possible to understand the contents of the prospectus, it is preferable to consult a licensed financial advisor.

It requested that the approval of the application not be considered as an endorsement of the feasibility of investing in the offering or in the shares of the company concerned, as the approval decision means that the regulatory requirements have been adhered to according to the Capital Market Law and its implementing regulations. The Authority’s approval of the application is valid for a period of (6) months from the date of the Authority’s Board decision, and the approval is considered void if the offering and listing of the company’s shares is not completed during this period.