Naqi Water issues prospectus to list 6 mln shares on Tadawul

Logo of Naqi Water Co.

Naqi Water Co. issued today, June 20, the prospectus for the initial public offering of six million shares on the Saudi Exchange (Tadawul).  

The Capital Market Authority (CMA) approved, on May 25, the application filed by Naqi to float six million shares, representing 30% of its capital, in an initial public offering. 

The bidding and book building period will run for five days from July 17-21. 

Subscription period for retail investors will begin on July 27, and run for two days.  

Naqi as established as a closed joint stock company in 2014 in Unayzah, Qassim. The company's capital currently stands at SAR 200 million. 

Pursuant to its bylaws, the company’s business activities are transformative manufacturing; transportation and storage; wholesale and retail trade; repair of motor vehicles and motorcycles; trade; and manufacturing, mining and recycling (manufacturing of beverages). 

In accordance with the main and branch commercial registrations, the company’s activities consist of the production and bottling of pure filtered water; wholesale of all kinds of bottled water; wholesale of soft drinks and juices; and retail sale of beverages in specialized stores. 

The company has two key business segments, water wholesale and retail. 

In 2020, the company increased its capital from SAR 85.3 million to SAR 150 million, by capitalizing SAR 64.7 million from retained earnings and statutory reserve. 

It also increased its capital in 2021 from SAR 150 million to SAR 170 million, by capitalizing SAR 20 million from retained earnings and reserve.  

During the same year, the company increased its capital from SAR 170 million to SAR 200 million, by capitalizing SAR 30 million from retained earnings. 

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 six million, representing 100% of the 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 5.4 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 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 600,000 shares maximum, or 10% of total offered shares.