Middle East Pharmaceutical Industries (Avalon Pharma) Company is expected to proceed with its initial public offering (IPO) and listing on the Saudi Stock Exchange (Tadawul).

The Capital Market Authority (CMA) announced on Wednesday that it has approved the pharmaceutical firm’s application to float 6 million shares on the Saudi bourse.

The shares represent 30% of Avalon Pharma’s share capital.

The market regulator said the company will publish its prospectus within sufficient time prior to the start of the IPO.

The approval is valid for six months and will be considered cancelled if the offering and listing of the company’s shares are not completed within the period, the CMA said.

Avalon Pharma is a home-grown pharmaceutical company based in Riyadh with presence in at least 15 countries and operates three factories, according to its website.

(Writing by Cleofe Maceda; editing by Seban Scaria)