Zahrat Al Waha allocates 10 shares per IPO subscriber

Zahrat Al Waha For Trading Co. has allocated a minimum of 10 shares per subscriber in its initial public offering (IPO), said Saudi Fransi Capital, the IPO’s financial advisor and lead manager.

The remaining shares will be allotted pro-rata based on the number of shares bought by each subscriber.  

The refunds process will be completed no later than August 27, the brokerage firm said, adding that the company’s shares will be listed after fulfilling the regulatory procedures.

The company allotted 900,000 shares, or 20 percent of total shares floated to retail investors, and 1.803 million shares, or 40.07 percent of total shares to investment funds.

A total of 1.797 million shares, or 39.93 percent of total shares offered were also allotted to the remaining institutional subscribers.

The IPO was 263.34 percent oversubscribed by retail investors. A total of 49,943 subscribers purchased 2.37 million shares at a total value of SAR 120.87 million, or SAR 51 per share.