Latest news with #Entaj
Zawya
14 hours ago
- Business
- Zawya
Retail cools on Saudi hospital IPO
The retail tranche of the SR1.88bn (US$501m) IPO of Saudi Arabia's Specialized Medical Company was only 1.45 times subscribed despite demand in the institutional tranche reaching US$32.4bn. The retail tranche represents 20% of the IPO with 15m shares on offer at SR25 each. That is larger than the 10% often earmarked for retail investors but SR542.2m of orders is well short of demand seen on other Saudi IPOs in which retail demand is typically enough to cover the entire deal and regularly tops SR1bn. In March, the 10% retail tranche of the SR450m IPO of poultry producer Arabian Company for Agricultural and Industrial Investment, known as Entaj, was more than 30 times covered with demand of SR1.4bn. The same month, Umm Al Qura for Development and Construction had orders reaching SR3.93bn for the 10% retail tranche of its SR1.96bn float, more than twice the entire deal. More recent deals have increased the retail allocation though demand seems to have cooled. The 20% retail tranche on United Carton Industries' SR600m IPO in May was 8.9 times covered with demand of just over SR1bn, while institutional demand exceeded SR75bn. Earlier this month, low-cost carrier Flynas said it was 3.5 times covered on the 20% retail tranche of its SR4.1bn IPO, representing demand of SR2.87bn and the first in which retail wasn't enough to cover the whole deal. Institutions put in orders for 100 times the whole deal. Cooling demand from retail is only rational given only Umm Al Qura has delivered positive returns, closing on Thursday at SR22.72, 51.5% above pricing. Entaj is 21% below pricing and United Carton is down 31.7%. Flynas shares debuted on Wednesday and ended 3.4% down and on Thursday were still 3.25% below IPO pricing. A trading date for SMC shares is yet to be set, with final allocations and refunds of excess subscriptions due by Tuesday.
Zawya
18-03-2025
- Business
- Zawya
SNB Capital successfully leads advisory for Entaj's SAR450mln Market Debut IPO
RIYADH, Saudi Arabia: SNB Capital has successfully completed its advisory services for the Initial Public Offering (IPO) of Arabian Company for Agricultural and Industrial Investment (Entaj), marking another milestone in Saudi Arabia's capital markets. The final share price was set at SAR 50 per share, raising a total of SAR 450 million (USD 120 million). A total of 9 million shares, representing 30% of Entaj's share capital, were offered, with 90% allocated to institutional investors and the remaining 10% reserved for individual investors. Following a highly successful book-building process, institutional investors oversubscribed the offering by more than 208 times and retail investors by more than 30 times. SNB Capital acted as financial advisor, lead manager and underwriter for the transaction. Zaid Ghoul, Head of Investment Banking at SNB Capital commented: "The overwhelming response to Entaj's IPO underscores the confidence investors have in Saudi Arabia's capital markets, which offer dynamic growth opportunities. We are pleased to have provided our advisory services to Arabian Company for Agricultural and Industrial Investment (Entaj), which joins a growing client base that views SNB Capital as a trusted partner for strategic support and financial expertise. Whether through public or private offerings, debt financing advisory, mergers and acquisitions, or debt issuance, we remain committed to helping companies expand and achieve their ambitions.' With a 7.6% share of the Kingdom's poultry market, Entaj's IPO contributes to expanding investment opportunities in the sector and enhancing its competitiveness. About SNB Capital: SNB Capital Company, a licensed entity by Capital Market Authority (CMA), is a leading regional financial institution with deep industry expertise across five business lines: Asset Management, Wealth Management, Securities, Investment Banking, and Principal Investments. SNB Capital is the top ranked broker in terms of market share on the Saudi Exchange as of December 2024, and the largest asset manager in Saudi Arabia with SAR 239 billion (USD 63.73 billion) of assets under management as of March 2024.
Zawya
17-03-2025
- Business
- Zawya
Mideast Stocks: Most Gulf markets in black on China stimulus prospect
Most stock markets in the Gulf ended higher on Monday, propelled by China's latest economic stimulus initiatives. China's State Council on Sunday unveiled what it called a "special action plan" to boost domestic consumption, featuring measures including increasing residents' income and establishing a childcare subsidy scheme. This came just days after the country's financial regulator promised to relax consumer credit quotas and loan terms as it offers long-term backing to make available large sums. Saudi Arabia's benchmark index gained 0.3%, extending gains for a second consecutive session, helped by a 2.5% rise in the country's biggest lender, Saudi National Bank . Alkhorayef Water and Power Technologies advanced 4.4% following a contract for operation and maintenance of water treatment plants worth 58.8 million riyals ($15.68 million). A modest rebound in oil prices and China's economic stimulus measures boosted market sentiment, said George Pavel, General Manager at Additionally, the successful initial public offering of Arabian Company for Agricultural and Industrial Investment (Entaj) further lifted investor optimism. Entaj surged 30% - the maximum daily limit allowed for newly-listed stocks during their first three days of trading - to 65 riyals in its debut. Dubai's main share index finished 0.6% higher, with blue-chip developer Emaar Properties advancing 3.1%. In Abu Dhabi, the index added 0.3%. According to Pavel, the slight rebound in oil prices is providing some support to market sentiment and could further strengthen if oil markets stage a solid recovery. Oil prices - a catalyst for the Gulf's financial markets - traded higher after the United States vowed to keep attacking Yemen's Houthis until the Iran-aligned group ends its assaults on shipping while Chinese economic data fuelled hopes for higher demand. The Qatari index, however, eased 0.2%, hit by a 1.2% fall in Qatar Islamic Bank. Outside the Gulf, Egypt's blue-chip index closed 0.4% higher, with Commercial International Bank climbing 1.6%. SAUDI ARABIA gained 0.3% to 11,883 Abu Dhabi rose 0.3% to 9,451 Dubai added 0.6% to 5,171 QATAR eased 0.2% to 10,404 EGYPT was up 0.4% at 31,459 BAHRAIN was down 0.1% at 1,968 OMAN lost 0.1% to 4,379 KUWAIT added 0.1% to 8,430 ($1 = 3.7504 riyals) (Reporting by Ateeq Shariff in Bengaluru; Editing by Shreya Biswas)
Reuters
17-03-2025
- Business
- Reuters
Most Gulf markets in black on China stimulus prospect
March 17 (Reuters) - Most stock markets in the Gulf ended higher on Monday, propelled by China's latest economic stimulus initiatives. China's State Council on Sunday unveiled what it called a "special action plan" to boost domestic consumption, featuring measures including increasing residents' income and establishing a childcare subsidy scheme. This came just days after the country's financial regulator promised to relax consumer credit quotas and loan terms as it offers long-term backing to make available large sums. Saudi Arabia's benchmark index (.TASI), opens new tab gained 0.3%, extending gains for a second consecutive session, helped by a 2.5% rise in the country's biggest lender, Saudi National Bank ( opens new tab. Alkhorayef Water and Power Technologies ( opens new tab advanced 4.4% following a contract for operation and maintenance of water treatment plants worth 58.8 million riyals ($15.68 million). A modest rebound in oil prices and China's economic stimulus measures boosted market sentiment, said George Pavel, General Manager at Additionally, the successful initial public offering of Arabian Company for Agricultural and Industrial Investment (Entaj) further lifted investor optimism. Entaj ( opens new tab surged 30% - the maximum daily limit allowed for newly-listed stocks during their first three days of trading - to 65 riyals in its debut. Dubai's main share index (.DFMGI), opens new tab finished 0.6% higher, with blue-chip developer Emaar Properties ( opens new tab advancing 3.1%. In Abu Dhabi, the index (.FTFADGI), opens new tab added 0.3%. According to Pavel, the slight rebound in oil prices is providing some support to market sentiment and could further strengthen if oil markets stage a solid recovery. Oil prices - a catalyst for the Gulf's financial markets - traded higher after the United States vowed to keep attacking Yemen's Houthis until the Iran-aligned group ends its assaults on shipping while Chinese economic data fuelled hopes for higher demand. The Qatari index (.QSI), opens new tab, however, eased 0.2%, hit by a 1.2% fall in Qatar Islamic Bank ( opens new tab. Outside the Gulf, Egypt's blue-chip index (.EGX30), opens new tab closed 0.4% higher, with Commercial International Bank ( opens new tab climbing 1.6%. ($1 = 3.7504 riyals)
Trade Arabia
17-03-2025
- Business
- Trade Arabia
Entaj lists shares on Saudi Exchange after IPO
Arabian Company for Agricultural and Industrial Investment (Entaj), one of the leading poultry brands in Saudi Arabia, announced today the listing of its shares on the main market of the Saudi Exchange. This follows the successful completion of its initial public offering (IPO). The company is now trading under the ticker symbol: 2287. The IPO consisted of 9,000,000 ordinary shares, with 90% of the offer shares allocated to institutional investors. The orders recorded during the institutional book-building exceeded SAR93 billion ($25 billion), representing a coverage of 208.4 times. The number of shares that were allocated to the individual investors tranche was 900,000, representing 10% of the total offer shares. The offering saw 499,021 individual investors place orders totaling SAR1.4 billion, reflecting a subscription coverage of 30.2 times for this tranche. The final offer price was set at SAR50 per share, which is at the top end of the previously announced price range for IPO, with the Company successfully raising gross proceeds of SAR450 million with an implied market capitalisation of SAR1.5 billion at listing. Ziyad Al Sheikh, Vice Chairman, commented: "Today marks a historic milestone for Entaj as we officially list on the Saudi Exchange's Main Market, a testament to two decades of growth, innovation, and expansion. The overwhelmingly positive investor reception underscores the strength of Entaj's investment case and the trust in our vision. As we step into this new chapter, we remain steadfast in our commitment to excellence, transparency, and accelerating strategic growth in the Kingdom's dynamic poultry sector. Our focus will continue to be on delivering long-term value for our shareholders while advancing the Vision 2030 goals of food security and local production." Raja M Alharbi, CEO, said: 'The successful completion of our IPO reinforces Entaj's position as a leading force in Saudi Arabia's highly competitive poultry sector. This milestone provides us with enhanced visibility, credibility, and access to resources, positioning us to drive sustainable growth in the years ahead. As a high-growth company, we remain focused on scaling production, expanding our distribution network, and enhancing operational efficiencies to meet the growing demand for fresh, locally produced poultry. We are deeply grateful to our employees, customers, and partners for their unwavering support in making this achievement possible, and we thank our investors for their trust and confidence in our growth story." -
