Retal debuts on Tadawul today
Logo of Retal Urban Development Co.
Retal Urban Development Co. will begin trading on the Saudi Exchange (Tadawul) today, June 27, under the real estate development sector, with the symbol 4322 and ISIN Code: SA15J1S23H17.
Daily and static price fluctuation limits of +/-30% and +/-10%, respectively, will be applied during the first three days of the listing.
From the fourth trading day onwards, the daily price fluctuation limits will revert to +/-10%, while the static price fluctuation limits will no longer apply.
This will be the eighth listing on the main market in 2022, following Elm Co., East Pipes Integrated Company for Industry, Scientific & Medical Equipment House Co., Al-Dawaa Medical Services Co., Nahdi Medical Co., Al Masane Al Kobra Mining Co. (AMAK) and Saudi Home Loans Co. (SHL).
Tadawul witnessed nine listings last year, including Alkhorayef Water and Power Technologies Co. (March 1), Theeb Rent a Car Co. (March 29), Tanmiah Food Co. (Aug. 4), solutions (Sept. 30), ACWA Power (Oct. 11), Arabian Contracting Services Co. (Al Arabia) (Nov. 15), Nayifat Finance Co. (Nov. 22), Saudi Tadawul Group (Dec. 8) and Almunajem Foods Co. (Dec. 20).
Retal’s listing will bring the total number of Tadawul constituents to 198, excluding 17 REITs.
The company offered 12 million shares, or 30% of its capital, on the main market, at SAR 120 each. Merely 90% of these shares were allocated to participating parties and 10% to individual investors, according to data available with Argaam.
The retail subscription to Retal's shares was 8.88x oversubscribed. A total of 233,100 retail investors subscribed to shares, at a total value of SAR 1.28 billion.
Each retail investor received a minimum of five shares, while the remainder will be allocated pro-rata, based on the demand size of each subscriber to total shares. The allotment ratio amounted to 0.364%.
Company Profile
Retal was established in 2012 in Al-Khobar as a closed joint-stock firm, with real estate development being its core business.
The company’s capital is SAR 400 million, divided into 40 million shares of equal value.
Retal consists of a group of subsidiaries that operate in concert to achieve integration in the following areas: Infrastructure development, design and engineering consultancy, project management, building and contracting, as well as property and facility management.
Since its kick-off in 2012, Retal has built a unique real estate portfolio that includes more than 30 completed and under-construction projects. These developments comprise a total of 7,284 housing properties across the Kingdom. About 2,957 units were finalized by the end of September 2021.
Retal has six subsidiaries, in which the company owns direct and indirect stakes, as follows:
|
Subsidiaries |
||||
|
Subsidiary |
Capital (SAR mln) |
Core Business Activity |
Direct Ownership |
Indirect Ownership |
|
Nesaj Urban Development Co. (single shareholder company) |
10.00 |
Construction projects management |
100% |
-- |
|
Tadbeir Ltd. Co. |
5.00 |
Facility management |
95% |
5% |
|
Building Construction Co. Ltd. (BCC) |
5.00 |
Construction and building |
100% |
-- |
|
Tadbeir Real Estate Ltd. Co. |
0.25 |
Buying, selling and dividing land and real estate, off-plan sales activities, management and leasing of owned or rental properties. |
100% |
-- |
|
Rimal AlKhobar Real Estate |
0.50 |
General construction of residential and non-residential buildings |
50% |
-- |
|
Etlalat Al Sharq Real Estate Co. |
1.00 |
Construction and development of residential and governmental buildings, using state-of-the-art techniques. Management and leasing of owned or rental residential and non-residential properties. |
50% |
-- |
|
Company Profile |
|
|
Company |
Retal Urban Development Co. |
|
Market |
Main market |
|
Core Activities |
Real estate development |
|
Capital |
SAR 400 mln |
|
Number of Shares |
40 mln |
Al Fozan Holding Co. is a major shareholder in Retal, owning 65.63% of the company’s shares after its IPO, followed by Abdullah Faisal Al Braikan with 3.50% of Retal’s capital.
|
Company’s Major Shareholders |
||||
|
Shareholders |
Pre-IPO |
Post-IPO |
||
|
Number of Shares (‘000 shares) |
Ownership |
Number of Shares (‘000 shares) |
Ownership |
|
|
Al-Fawzan Holding Co. |
37500.00 |
93.75% |
26250.00 |
65.63% |
|
Abdullah Faisal Al Braikan |
2000.00 |
5.00% |
1400.00 |
3.50% |
|
Al Sahm Holding Co. |
125.00 |
0.31% |
87.50 |
0.22% |
|
Athman International Holding Co. |
125.00 |
0.31% |
87.50 |
0.22% |
|
Jras Holding Co. |
125.00 |
0.31% |
87.50 |
0.22% |
|
Maali Gulf Holding Co. |
125.00 |
0.31% |
87.50 |
0.22% |
|
Public |
-- |
-- |
12000.00 |
30% |
|
Total |
40000.00 |
100.00% |
40000.00 |
100.00% |
