Alamar retail subscription starts to 1.06 mln shares today, marks Tadawul’s 9th IPO in 2022

20/07/2022 Argaam Special
Logo ofAlamar Foods Co.

Logo of Alamar Foods Co. 


Retail investors start today, July 20, subscription to 1.06 million shares of Alamar Foods Co., or 10% of total shares offered, at SAR 115 each, set by the book-building process. 

  

The Capital Market Authority (CMA) approved, on June 7, the application filed by Alamar to float 10.63 million shares, representing 41.7% of its capital, in an initial public offering (IPO).  

 

 The two-day offering will end tomorrow, July 21. 

  

The institutional offering ended last week and was 47.5x covered. 

  

This will be the ninth listing on the main market this year, after East Pipes Integrated Company for Industry on Jan. 24, Scientific & Medical Equipment House Co. on Jan. 31, Elm Co. on Feb. 3, Al-Dawaa Medical Services Co. on Feb. 27, Al Masane Al Kobra Mining Co. (AMAK) on March 9, Nahdi Medical Co. on March 13, Saudi Home Loans Co. (SHL) on March 27 and Retal Urban Development Co. on June 5. 

  

Last year witnessed nine listings, including Alkhorayef Water and Power Technologies Co., Theeb Rent a Car Co., Tanmiah Food Co, Arabian Internet and Communications Services Co. (solutions), ACWA Power, Arabian Contracting Services Co., Nayifat Finance Co., Saudi Tadawul Group and Almunajem Foods Co. 

  

Company Profile: 

 

In 1985, the company made a debut as a branch of Al Jammaz Corporation, under the name Supply Services Corporation. In 1998, it converted from a sole proprietorship to a limited liability company, with SAR 62 million capital.

 

In 2012, Alamar converted into a closed joint-stock company, increasing its capital several times since inception to reach SAR 255 million currently. 

 

The core activities of the company, according to its articles of association, are table service restaurants and fast-food activities, including pizza stores. 

 

Alamar is the exclusive franchiser and operator of the Domino's Pizza brand in the Middle East, North Africa and Pakistan, in addition to the Dunkin' brand in Egypt and Morocco.  

 

The company has 14 branches all over the Kingdom, through which it runs 275 Domino’s stores, of which 28 are managed by a sub-franchisor in Makkah and Taif. The company further owns four warehouses in Riyadh. 

 

Subsidiaries:

 

Alamar runs 12 subsidiaries in Saudi Arabia, UAE, Egypt, Morocco, Qatar, Bahrain, Kuwait, Oman, Lebanon and Jordan, as follows:

 

Alamar Subsidiaries

Subsidiary

Nationality

Incorporation Date

Capital

Direct/Indirect Ownership

Alamar Foods UAE

UAE

 Nov. 2009

AED 300,000

*99%

Alamar Foods Egypt

Egypt

 Feb. 2012

EGP 122 mln

*99.45%

HEA Trade and Services (Morocco)

Morocco

 Nov. 1998

MAD 3 mln

*49%

Kasual Plus

Saudi Arabia

Aug. 2002 

SAR 2 mln

45%

Alamar Foods DMCC

UAE

July 2011

AED 500,000

100%

Alamar Foods Qatar

Qatar

July 2012

QAR 200,000

**51%

Alamar Foods Jordan

Jordan

 Feb. 2010

JOD 1.1 mln

*75%

Alamar Foods Bahrain

Bahrain

 Nov. 2011

BHD 20,000

*99%

Alamar Foods Lebanon

Lebanon

 Feb. 2005

LBP 6.17 bln

*94.8%

Alamar Foods Kuwait

Kuwait

Aug. 2017 

KWD 1,000

*40%

Alamar Foods Oman

Oman

June 2007

OMR 100,000

*30%

* Indirect ownership by Alamar MDMS

** Indirect ownership by Alamar Foods Bahrain

 

Company Profile

Company

Alamar Foods Co.

Market

Saudi Exchange (Tadawul)

Core activities

Restaurants and fast food, including pizza stores

Capital 

SAR 255 mln

Number of shares

25.5 mln

 IPO Summary

IPO percentage

41.7%

IPO price

SAR 115

Number of shares offered

1.06 mln representing 10% of the total number of offered shares of 255 mln

Qualified subscribers

Individual subscribers

Minimum limit for individual subscribers

10 shares

Maximum limit for individual subscribers

300,000 shares

Individual subscription period

July 20 to July 21, 2022

Final allocation

July 26, 2022

Surplus refunds

July 26, 2022

Special Information

Financial advisor, lead manager, underwriter and book runner

HSBC Saudi Arabia

Receiving banks

Riyad Bank, Saudi National Bank, Al Rajhi Bank

 

After IPO, Abdulaziz Ibrahim Al Jammaz & Brothers Co. will be a major shareholder in Alamar at 57.12%. The company’s major shareholders are as follows:

 

Company Shareholders

Shareholders

Before IPO

After IPO

Number of Shares

(mln shares)

Ownership

Number of Shares

(mln shares)

Ownership

Abdulaziz Ibrahim Al Jammaz & Brothers Co.

14.57

57.12%

14.57

57.12%

Meadow Holdings Cayman Ltd

5.97

23.43%

--

--

Meadow Saudi Arabia LLC

4.66

18.27%

--

--

Treasury shares 

0.30

1.18%

0.30

1.18%

Public

--

--

10.63

41.70%

Total

25.50

100%

25.50

100%

 

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