Shareholders of Red Sea International Co. have approved the initial public offering (IPO) of Fundamental Installation for Electric Work Co. (First Fix), a 51%-owned subsidiary.

The subsidiary’s unnamed shareholder plans to offer 12 million shares, representing 30% of capital, through a floatation on the Saudi stock exchange.

Red Sea will not sell any shares in the offering and retain its 51% stake in First Fix, the company said in a statement to the stock exchange on Monday.

In June 2023, RSI acquired a 51% stake in First Fix for SAR 544.2 million from MSB Holding Co., Fares Esmat Al Saady and Ziad Jan Alsayegh.

Established in 2015, First Fix is a class 1 Saudi contractor and has been awarded more than 200 projects.

(Editing by Seban Scaria seban.scaria@lseg.com)