Almunajem Foods, one of the largest food companies in Saudi Arabia, today announced the successful completion of the institutional book-building process in compliance with the guidelines of the Capital Market Authority (CMA) and the determination of the final offer price for the Initial Public Offering (IPO) at SR60 per share.

The book-building process was oversubscribed 176 times, it said.

Eng Thamer Bin Abdulaziz Abanumay, Chief Executive Officer at Almunajem Foods, said: The strong demand we have witnessed for Almunajem Foods shares by institutional investors is a reflection of the trust that the company has garnered from over 70 years of operations in the Saudi market. It signals the markets confidence in our ability to successfully execute our long-term growth strategy, which will see us leverage our operationally agile and strong logistical capabilities to cement our position as the Kingdoms leading food company of choice.

With the retail subscription period set to commence in early December, we look forward to welcoming a diverse institutional and retail shareholder base, that will undoubtedly play a crucial role in our future growth journey and contribute significantly to our rich heritage and history.

Offer Details
- The final offer price for the offering has been set at SR60 per share, implying a market capitalization at listing of SR3.6 billion ($960 million)
- The total offering size is SR1.08 billion ($288 million)
- The offering comprises 18,000,000 existing ordinary shares of the company to be sold by the current shareholders. 100% of the offer shares have been provisionally allocated to the Institutional Investors having participated in the book-building process. This may be reduced to 16,200,000 shares (representing 90% of the total offer shares) depending on the level of demand by individual investors. The final number of shares allocated to the institutional investors will be accordingly adjusted based on subscription from individual investors.

Saudi Arabian nationals, foreign residents in Saudi Arabia and GCC nationals will be able to subscribe for shares in the retail offering between December 5 and 6 at the final offer price of SR60 per share through the appointed receiving banks which are SABB, Saudi National Bank and Al Rajhi Bank. TradeArabia News Service

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