Scientific & Medical Equipment House announces plan to list 30% stake on Tadawul

Logo of Scientific and Medical Equipment House

Scientific and Medical Equipment House (SMEH) plans to offer 600,000 ordinary shares, representing 30% of the company’s shares, in an initial public offering (IPO) on the Saudi Exchange (Tadawul).

The announcement was made by Alistithmar for Financial Securities and Brokerage Co. (Alistithmar Capital) in its capacity as the financial advisor, lead manager, bookrunner, and underwriter of the subscription.

On July 28, 2021, Tadawul approved the SMEH’s application for the listing of the shares on the main market, while the Capital Market Authority (CMA) approved the company’s application for the IPO of six million ordinary shares, representing 30% of its capital on Nov. 3, 2021.

The price at which all subscribers in the offering will purchase the shares will be determined after the book-building period.

SMEH is the largest provider of medical and non-medical operation, maintenance, catering and contracting services for both public and private sectors.

The company's current capital stands at SAR 200 million, divided into 20 million shares with a fully paid face value of SAR 10 per share.

The company was established by Sheikh Saud Mohammed Nasser Al Arifi in 1979 as sole proprietorship called Medical and Scientific Equipment House with a capital of SAR 20 million, and in year 2000 the foundation became a limited liability company.

The company’s board chairman, Basil Al Arifi said that the IPO is an ambitious step that enhances the company's presence and financial strength, in line with its strategy to develop performance and maximize impact and achievement, providing great opportunities for serious and safe investment.

He added the announcement of Scientific & Medical Equipment House’s intention to list its shares in the Tadawul is a milestone in the company's career, supports its presence and leading position in the operating, maintenance and healthcare sector, and enables it to take advantage of the opportunities available in this promising market. This adds another important step in the company's long career in the Kingdom.

The company has many competitive advantages that have added significant momentum to the accelerated growth process from its inception to date, which gives it the flexibility and readiness to take advantage of the growth and development available in this sector, based on its strong financial position, strategic partnerships and outstanding market presence.

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