Individual subscriptions for "Bin Dawood" shares will begin on September 27th

Bin Dawood Holding Company for the sale of foodstuffs intends to put 20% of the capital on the Saudi stock market, equivalent to 22.86 million shares.

According to Arabiya Net, the company stated in the IPO that the order book building process, through which the offering price will be determined, will take place on Sunday, September 13, for a week. , While the retail subscription period will start on Sunday, September 27, for a period of 3 days.

The subscription targets two segments, the first is the participating groups. The second category is individuals, and the participating category is defined as the segment that is entitled to participate in building the order book.

20.57 million shares, representing 90% of the total offering shares, were allocated to the first class, while the individual class was allocated 10% of the offering, equivalent to 2.28 million shares. < / p>

the company said that it has a total of 73 stores, including 51 hypermarkets and 22 supermarkets, making it the third largest hypermarket and supermarket operator in Saudi Arabia by revenue in 2019.

Bin Dawood Holding, which controls the two retail chains Bin Dawood and Danube, announced this year a planned IPO postponement in the wake of the coronavirus outbreak. < / p>

and the CEO of the company, Ahmed Abdul Razzaq bin Dawood, said in a statement: Given the trend in the food retail sector in the Kingdom, we are fully aware that the offering will give new investors a platform Strong growth of their capital in the future.

and added that the company is not indebted, has strong cash flows, and does not intend to collect debt at this time.

and continued that it seeks to attract major investors who will benefit from this offering.

and said that the company was able to overcome the repercussions of increasing the value-added tax three-fold to 15% starting from the beginning of July by increasing its market share in the Kingdom.

He added that the company adopted measures to reduce the repercussions and that consumer demand remained strong as customers did not travel during the summer vacation this year due to the pandemic.

Goldman Sachs and JP Morgan are taking over the role of financial advisors and lead book managers. And participate in the last mission, Al-Ahly Capital and GIB Capital.

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