Almajed Oud to offer 7.5M shares on Tadawul

Logo of Almajed Oud Co.

Almajed Oud Co. issued its prospectus for the offering of 7.5 million shares, representing 30% of its capital, on the Main Market (TASI).

The subscription period for participating entities and book-building process will last for five days from Aug. 25 to Aug. 29.

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The company set the offering period for retail investors to one day on Sept. 15.

The Capital Market Authority (CMA) approved, in June, the company's request to float its shares in an initial public offering (IPO) on TASI.

The IPO is limited to two categories of investors:

Category 1: Entities eligible to participate in the book-building process, based on the instructions of the book-building and IPO allocations as issued by the CMA.

A total of 7.5 million shares, representing 100% of the offering, will be earmarked to participating entities that actively engage in the book-building process.

If there is sufficient demand from retail investors, the financial advisor, in coordination with the company, may reduce the number of shares allocated to participating entities to a minimum of six million shares, representing 80% of the total offering.

As many as 2.25 million shares, or 30% of the total offering, will be allocated to public funds. If there is sufficient demand from retail investors, this allocation will be reduced to 1.8 million shares, representing 24% of the total.

Category 2: Retail subscribers, including Saudi natural persons, non-Saudi residents, and GCC citizens who have a bank account with one of the receiving entities and are eligible to open an investment account with a financial institution.

Up to 1.5 million shares, representing 20% of the total offering, will be allocated to retail investors.

Founded in 1982 and headquartered in Riyadh, Almajed Oud currently has a capital of approximately SAR 250 million. The company is primarily engaged in the production and retail of perfumes, oud, incense, aromatic oils, plant-based products, accessories, and gifts.