Retal issues prospectus for 30% IPO on Tadawul

Logo of Retal Urban Development Co.

Retal Urban Development Co. announced today, May 9 the prospectus for its initial public offering (IPO) of 12 million shares on the Saudi Exchange (Tadawul).   

The Capital Market Authority’s (CMA) board approved on March 16 the company's application to float 12 million shares, or 30% of its capital, in a public offering. Retal’s capital stands at SAR 400 million (40 million shares).  

Retal is a closed joint stock company established in 2012 in Al-Khobar region. It develops commercial and residential projects. 

Since its establishment in 2012, Retal has built a unique real estate portfolio that includes more than 30 projects that vary between completed and under construction projects. These projects comprise a total of 7,284 housing units in various regions across the Kingdom. About 2,957 units were completed by the end of September 2021. 

Participating parties: This tranche comprises the parties entitled to participate in the book-building process as specified under the book building instructions. The number of shares that will be allocated initially is 12 million, representing 100% of the total offer size. Final allocation of the offer shares will be made after the end of the subscription period for individual investors. The lead managers shall have the right to reduce the number of shares allocated to participating parties to 10.8 million shares, representing 90% of the total offer shares.

Individual investors: This tranche comprises Saudi Arabian natural persons, in addition to any non-Saudi natural person who is resident in the Kingdom or any GCC natural persons, provided that they have a bank account with one of the receiving entities and are allowed to open an investment account. The number of shares offered for retail investors amounts to 1.2 million shares maximum, or 10% of total offered shares.

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