Arabian Mills for Food Products Company announces the completion of offering period

Arabian Mills for Food Products Company (“Arabian Mills” or the “Company”), one of the market-leading flour milling companies in the Kingdom of Saudi Arabia, along with HSBC Saudi Arabia, as the Sole Financial Advisor, Global Coordinator, Bookrunner, Underwriter, and Lead Manager, announces today the successful completion of the individual investor period and final allotment of Offer Shares (as defined below) in relation to its public offering of shares (the “IPO” or the “Offering”).

Following the successful completion of the institutional book-building period which set the Final Offer Price at SAR 66 per shares (the “Final Offer Price”) and resulted in subscription coverage of approximately 132x the total offered shares, the individual investors offering, made up of Saudi Arabian nationals, foreign residents in the Kingdom and GCC nationals (“Individual Investors”), took place from 18 September to 19 September 2024G. The number of shares that were allocated to the Individual Investors tranche was 1,539,450 Offer Shares, representing 10% of the total Offer Shares. The Offering saw 264,179 Individual Investors place orders amounting to SAR 930.6 million, reflecting a subscription coverage of 9.2 times the offered shares in this tranche.

Arabian Mills allocated a minimum of 5 shares to each Individual Investor. The remaining shares will be allocated on a pro-rata basis based on demand size with an average allocation factor of 1.7102%. The sum of the remaining shares was allocated in the following methodology; each investor received an additional allocation of one share in a descending order starting with the highest demand until such shares were totally exhausted. 

Offer Details

• The Final Offer Price for the Offering has been set at SAR 66 per share, implying a market capitalization at listing of SAR 3,387 million (US$ 903 million).
• The total size of the Offering is SAR 1,016 million (US$ 271 million).
• The Offer Shares will be listed and traded on the Main Market of the Saudi Exchange following the completion of the IPO and listing procedures with the Capital Market Authority (“CMA”) and the Saudi Exchange, with the date to be announced at a later stage.