Rasan’s accelerated bookbuilding to sell 17.2% stake kicks off

Logo of Rasan Information Technology Co. 

HSBC Saudi Arabia, as a global coordinator and bookrunner for institutional subscription by Impact46 in its capacity as the fund manager of Venture Capital InsurTech Fund and Impact Growth Fund, announced the launch of the accelerated bookbuilding process to sell the entire stake owned by the two funds in Rasan Information Technology Co.

In a Tadawul statement today, March 12, Rasan said about 13.30 million of its shares are on offer, representing 17.16% of its issued capital. Eligible subscribers are institutional investors. Ownership of these shares are as follows:

The offering will be available to institutional investors in Saudi Arabia, investors from foreign financial institutions qualified for regulating investments in listed securities, and institutions benefiting from swap agreements among entities licensed by the Capital Market Authority (CMA) to trade securities on Tadawul on behalf of these beneficiaries. This is in addition to institutional investors from the GCC (including corporates and funds). Accordingly, the shares will be offered to certain institutional investors located outside the US.

For more news on listed companies

Following the completion of the offering, the two funds will have no shareholding in Rasan. Rump shares, if any, will be subject to a 90-day lock-up period.

The offering, which generates no proceeds to Rasan, will not modify ownership of other shareholders in the company, HSBC Saudi Arabia said.

It also indicated that this divestment is in line with fund manager Impact46’s investment strategy, which focuses on supporting and empowering tech startups with high growth potential besides efficient capital allocation to capitalize on future opportunities.

This offering should help support Rasan's long-term potential by ramping up free float shares, enhancing liquidity levels, and expanding its shareholder base. This will enable the company to attract diverse institutional investors to support the next phase of its growth journey.

HSBC Saudi Arabia was appointed as the global coordinator and institutional bookrunner for the sellers.

In a separate statement, Tadawul said, with regard to participating institutions through negotiated deals on March 13, these agreements will be executed in accordance with the current market regulatory framework of negotiated deals, as follows:

- Tadawul will facilitate a session prior to the opening auction (pre-market) for only negotiated deals on Rasan’s stock on March 13.

- The negotiated deals session will allow related parties to place negotiated deals only on Rasan Information Technology Co. (symbol:  8313).

- Usual market hours for all listed securities will remain the same, where the opening auction will start at 9:30 am Makkah time.

- Negotiated deals conducted prior to the opening auction (pre-market) on March 13 will be reflected on the negotiated deals page on Tadawul’s website.

According to data available with Argaam, Rasan earlier floated on TASI 22.7 million shares in May 2024, at SAR 37 each, making its market debut on June 13, 2024.

Rasan’s stock closed today's trading session 2.6% down at SAR 71.90.