IPO Monitor | Al Majed Oud IPO Soars: Retail Subscription Surpasses 820% in One Day
Tadawul All Shares Index TASI.SA | 12172.75 | +0.52% |
ALMAJED OUD 4165.SA | 166.40 | +1.09% |
The initial public offering (IPO) of Al Majed for Oud Co. garnered an overwhelming response from retail investors, oversubscribed by 821.33%, as announced by Saudi Fransi Capital, the financial advisor, lead manager, book-runner, and underwriter of the IPO. Investors subscribed to a total of 1.50 million shares, demonstrating a strong interest in the company's shares.
| Category | Details |
|---|---|
| Issue Percentage | 30% |
| Number of Offered Shares | 7.5 million |
| Qualified Subscribers | Qualified entities & Retail investors |
| Offer Price | SAR 94/share |
| Participating institution Coverage Ratio | 15,646% |
| Number of Shares Allocated to Retail Investors | 1.5 million |
| Retail Investors Coverage Ratio | 821.33% |
| Subscription Allocation to Retail Investors | 6 shares minimum per subscriber |
| Allocation of Rump Shares | On a pro rata of 0.7634% |
According to a statement by Tadawul on September 18, a minimum of six shares were allocated to each individual subscriber. Al Majed Oud offered 7.5 million shares to the public, representing 30% of its total capital.
The distribution of shares was divided between institutional and retail investors, with 80% of the shares reserved for institutional investors and the remaining 20% allocated to retail participants. The retail offering occurred on September 15, and the subscription was open for just one day.
Company Overview
Founded in 1982 and headquartered in Riyadh, Al Majed Oud has established itself as a prominent player in the perfume and aromatic products sector. The company operates with a capital of SAR 250 million and is known for its specialization in the production and sale of perfumes, oud, incense, and aromatic oils. Al Majed Oud's expansive portfolio includes more than 650 products across 132 brands, which are sold through its 286 retail stores, online platforms, and third-party e-commerce channels.
IPO Profile
| Category | Details |
|---|---|
| Company | Al Majed for Oud Co. |
| Market | Main Market (TASI) |
| Core Activities | Production and retail of perfumes, oud, incense, and aromatic oils |
| Capital | SAR 250 million |
| Number of Shares | 25 million |
| Par Value | SAR 10/share |
Key Dates
| Event | Hijri Date | Gregorian Date |
|---|---|---|
| Offering Period for Participating Parties and Book Building Period | 21/02/1446H - 25/02/1446H | 25/08/2024G - 29/08/2024G |
| Deadline for submission of Subscription Forms by Participating Parties based on the provisional allocation of Offer Shares | 05/03/1446H | 08/09/2024G |
| Submission Period for Individual Investors | 12/03/1446H | 15/09/2024G |
| Deadline for payment of subscription money by Participating Parties based on their provisional allocation of Offer Shares | 07/03/1446H | 10/09/2024G |
| Deadline for submission of Subscription Application Forms and payment of the subscription monies by Individual Investors | 12/03/1446H | 15/09/2024G |
| Announcement of final Offer Shares allotment | 16/03/1446H | 19/09/2024G |
| Refund of excess subscription monies (if any) | 21/03/1446H | 24/09/2024G |
| Expected trading commencement date for the Shares | To be announced | To be announced |
Note: The above timetable and dates therein are indicative. Actual dates will be communicated through announcements on the Tadawul website (https://www. saudiexchange.sa), and the Company’s website (www.almajed4oud.com)
Previous News:
IPO Monitor | Al Majed Oud Prices IPO at Top Range, with Institutional Coverage Ratio of 15,646%
IPO Monitor | Overview for The Next IPO in Saudi Market: Al Majed for Oud Company
- Reporting by Zaid, Sahm News team
