Latest news with #SpecializedMedicalCompany
Zawya
a day ago
- Business
- Zawya
Specialized Medical Company announces the completion of offering period for individual investors and final allotment of shares
Riyadh, Saudi Arabia: Specialized Medical Company (' Company ' or ' SMC '), one of the leading healthcare providers in the Kingdom of Saudi Arabia (' Kingdom '), recognized as a center of excellence delivering comprehensive and integrated healthcare services across a wide range of specialties, announces the successful completion of the individual investor offering period and the final allotment of the offered shares in relation to the Company's initial public offering (the ' IPO ' or the ' Offering '). Following the successful completion of the institutional book-building period, which has set the final offer price at SAR 25.0 per share and resulted of an oversubscription of 64.7 times of the total offered shares, the individual investors offer took place from 15 June to 16 June 2025G. The number of shares that were allocated to the Individual Investors tranche was 15,000,000 Offer Shares, representing 20% of the total Offer Shares. The Offering saw 317,820 individual investors place orders totaling SAR 542.2 million, reflecting a subscription coverage of 1.45 times for this tranche. The Company allocated a minimum of 10 shares to each individual investor, with the remaining shares allocated on a pro-rata basis, based on the size of demand, with an average allocation factor of 63.9%. Based on the results of the retail subscription process, the shares allocated to institutional investors will be reduced to 60,000,000 shares, representing 80% of the total Offer Shares, provided that such clawback shall not apply to the Company for Cooperative Insurance (Tawuniya), being the Cornerstone Investor, and the final allocation to the Cornerstone Investor shall be 5,875,000 Offer Shares in all cases. Accordingly, 54,125,000 shares of the Offer Shares will be allocated to the institutional investors excluding the Offer Shares allocated to the Cornerstone Investor. Bassam Chahine, CEO at Specialized Medical Company commented: 'We are proud to have successfully completed our offering amidst evolving market conditions, which is a testament to the confidence investors have placed in SMC's growth story and long-term strategy. This milestone reinforces our market positioning as a differentiated healthcare provider and marks the beginning of an exciting new chapter in our journey upon the Company's listing.' HIGHLIGHTS OF THE OFFER Following the listing, the Company will have a free float of 30% (75,000,000) of its total Shares (250,000,000). The Company for Cooperative Insurance (Tawuniya) subscribed, as Cornerstone Investor, for 5,875,000 shares of the Offer Shares (representing 2.35% of the Company's share capital after the Offering). The Company for Cooperative Insurance (Tawuniya) is considered a major investor in the Saudi markets. The Company believes that the contribution of the Company for Cooperative Insurance (Tawuniya) will provide an essential drive for achieving growth and long-term strategic goals. The Offer Shares will be listed and traded on the Saudi Exchange's Main Market following the completion of the Offering and listing formalities with both the Capital Market Authority (CMA) and the Saudi Exchange.
Zawya
04-06-2025
- Business
- Zawya
Specialized Medical Company announces the Final Offer Price for its Initial Public Offering
Riyadh, Saudi Arabia – Specialized Medical Company (' Company ' or ' SMC '), one of the leading healthcare providers in the Kingdom of Saudi Arabia (' Kingdom '), recognized as a center of excellence delivering comprehensive and integrated healthcare services across a wide range of specialties, announces the successful completion of the book-building process for institutional investors (' Participating Parties ') and the final offer price (the ' Final Offer Price ') for its initial public offering (the ' IPO ' or the ' Offering ') on the Main Market of the Saudi Exchange. The Final Offer Price has been set at SAR 25.00 per share, which is at the top end of the previously announced price range for the IPO, implying a total offering size of around SAR 1,875 million (USD 500 million) and a market capitalization at listing of SAR 6,250 million (USD 1,667 million). The orders recorded during the institutional book-building exceeded SAR 121.3 billion (approximately more than USD 32.4 billion), representing a coverage of 64.7 times. In line with regulatory requirements, SMC issued a Second Supplementary Prospectus reflecting a shareholder decision to revoke previously distributed interim dividends. Following this, the institutional book-building was reopened exclusively to existing institutional participants, offering them the opportunity to amend or rescind their bids. SMC received strong level of investor engagement since the publication of the Second Supplementary Prospectus. The deliberate and strategic decision taken by SMC's shareholders reinforces their confidence in the IPO and their belief in the Company's long-term value creation potential for both current and future shareholders. The subscription period for Individual Subscribers will commence on Sunday, 15/06/2025G (corresponding to 19/12/1446H), and ends at 2:00 PM (KSA time) of Monday, 16/06/2025G (corresponding to 20/12/1446H). Bassam Chahine, Chief Executive Officer of Specialized Medical Company (SMC), commented: ' Reaching the top end of the price range is a clear vote of confidence in SMC's performance, vision, and growth strategy. It marks a significant milestone in our journey from a single day-surgery center to one of Riyadh's leading private healthcare providers. This IPO sets the stage for our next phase of expansion as we double our capacity, deepen our presence in high-growth areas like Northern Riyadh, and continue to redefine healthcare delivery in the Kingdom.' HIGHLIGHTS OF THE OFFER The Company has appointed EFG Hermes KSA and SNB Capital Company (' SNB Capital ') as the joint financial advisors (hereinafter referred to as the " Financial Advisors"), bookrunners (the " Bookrunners"), and underwriters (the " Underwriters") and appointed SNB Capital as the lead manager (hereinafter referred to as the " Lead Manager") in respect to the Offering described herein. The Company has also appointed SNB Capital, SAB Invest, Al Rajhi Capital, BSF Capital, Alinma Investment, Riyad Capital, Al Jazira Capital, Alistithmar Capital, ANB Capital, Derayah Financial Company, Yaqeen Capital, Al Khabeer Capital, Albilad Capital, GIB Capital and Sahm Capital to act as receiving agents (collectively, the ' Receiving Agents ') for retail investors. The Offering will consist of 75,000,000 ordinary shares (the 'Offer Shares'), representing 30% of the Company's total issued share capital. 100% of the Offer Shares have been initially allocated to the Participating Parties that took part in the institutional book building process. In the event that Individual Subscribers subscribe in full for the Offer Shares allocated thereto, the Financial Advisors shall have the right to reduce the number of Offer Shares allocated to Participating Parties to a minimum of sixty million (60,000,000) Offer Shares, representing 80% of the total Offer Shares, provided that such reduction shall not apply to the Cornerstone Investor and the final allocation to the Cornerstone Investor shall be five million eight hundred seventy-five thousand (5,875,000) shares of the Offer Shares (representing 2.35% of the Company's share capital after the Offering) in all cases. Accordingly, fifty-four million one hundred and twenty-five thousand (54,125,000) shares of the Offer Shares will be allocated to the Participating Parties other than the Offer Shares allocated to the Cornerstone Investor and individual shareholders. The Company for Cooperative Insurance (Tawuniya) committed to subscribe, as Cornerstone Investor, for 5,875,000 shares of the Offer Shares (representing 2.35% of the Company's share capital after the Offering). The Company for Cooperative Insurance (Tawuniya) is considered a major investor in the Saudi markets. The Company believes that the contribution of the Company for Cooperative Insurance (Tawuniya) will provide an essential drive for achieving growth and long-term strategic goals. The Offer Shares will be offered for subscription to individual and institutional investors, including institutional investors outside the United States in accordance with Regulation S under the US Securities Act of 1933G, as amended ('US Securities Act'). The Offering's net proceeds will be distributed to the Selling Shareholders. The Company will not receive any part of the Offering Proceeds. The Offer Shares will be listed and traded on the Saudi Exchange's Main Market following the completion of the Offering and listing formalities with both the Capital Market Authority (CMA) and the Saudi Exchange. To view the full Prospectus and information on the IPO, please visit
Zawya
28-05-2025
- Business
- Zawya
United Carton first to trade in run of Tadawul floats: IFR
Shares in United Carton Industries saw mixed performance on their trading debut on Tuesday, the first in a batch of Tadawul deals nearing completion following a busy start to the second quarter. Shares opened up 6% at SR53 and despite falling back from the open held above SR50 IPO pricing until selling in the final hour sent shares sharply down to close just below at SR49.25. More than 17m shares changed hands, nearly 1.5 times the 12m secondary shares sold in the SR600m (US$160m) IPO. Al Rajhi Bank was sole bookrunner. Saudi Arabia has seen liquidity put to the test with three main market deals taking advantage of the window between Eid al-Fitr at the end of March and Eid al-Adha in early June, a window made shorter by initial caution following US president Donald Trump's tariff announcements in April. The SR4.1bn IPO of low-cost carrier Flynas opens for retail subscriptions on Wednesday having been nearly 100 times covered on the institutional leg. Final allocations and refunds are due before Tadawul trading ends on June 4 for Eid al-Adha. Trading resumes on June 11. An extension has been applied to the SR1.8bn–SR1.88bn listing of Specialized Medical Company to allow investors to amend their orders following published changes to the company's financials, with retail subscription now running from June 15–16. One deal still awaiting an intention to float is Ejada Systems, for which Capital Market Authority approval expires on June 23. Under CMA rules, deals have to complete within six months of approval though extensions are possible, particularly if the company is able to at least launch within the approval window. Alternatively the company may have to seek approval at a later date. While a narrow window opens between Eid al-Adha and summer, most bankers in the region are focusing on the IPO pipeline from September, with similar dynamics applying in neighbouring UAE. Ali Khalpey, head of ECM at EFG Hermes, which is working on SMC alongside SNB Capital, predicted around eight post-summer IPOs in the UAE, Saudi Arabia and Kuwait with one deal potentially launching before summer. 'We see a reasonable path to getting deals done. It's been a good couple of weeks and there is a very strong pipeline we hope to convert,' he said. 'People have a lot of cash they have built up and are looking to deploy it. On SMC and Flynas, books were very well covered and appetite to participate was strong. Saudi local demand is back and in bull market mode while international demand is also very good.' While the IPO pipeline remains more time constrained there is widespread enthusiasm among bankers and investors for a growing role for secondary and accelerated options, with bankers saying potential candidates could launch before summer. Like others in the region, Khalpey also sees a growing presence for secondary offers with test cases such as Adnoc Gas showing investors are comfortable with formats such as accelerated bookbuilds. 'Secondaries are part of the deepening of the market,' said Khalpey. 'The challenge is finding more shareholders to sell. Most don't want to sell or don't have need of capital and a lot of businesses are already very capital generative.' John Wilkinson, co-head of EMEA ECM origination at Goldman Sachs, said there is visibility on multiple accelerated offers in Saudi Arabia and the UAE this year with conversations happening regularly. 'It's taken a while for the market to come to terms with ABBs,' Wilkinson said. 'It's taken a while to understand why the issuer is selling and the associated messaging but there is growing comfort with the product from the buyside in the region with a number having proven attractive in generating returns for investors with pricing more in line with international practice. For private companies you can't tell someone they have to offer a meaningful discount at IPO and that's the only liquidity event they get. In particular for privately owned businesses it has a really important seeding and behavioural effect on the IPO market.'
Zawya
14-05-2025
- Business
- Zawya
SMC opens up to $501mln IPO with cornerstone backing: IFR
Books opened on Sunday for the SR1.8bn–SR1.88bn (US$479.9m–$501.2m) Tadawul IPO of Specialized Medical Company. A total 75m secondary shares are on offer at SR24–SR25 each, valuing the company at SR6bn–SR6.25bn off a 30% free-float. Insurance company Tawuniya has agreed to subscribe for nearly 5.9m shares to give it a 2.4% stake in the company. SMC works with Tawuniya and the region's other large insurers Bupa Arabia and Medgulf. Tawuniya was a cornerstone on the SR1.69bn IPO of Almoosa Health at the end of 2024, taking a combined 22% of the deal with conglomerate Alfozan Holding. In common with many recent Saudi deals, SMC is positioned as a growth story with plans to add three hospitals by 2029 to the two it has already, more than doubling the number of beds to 1,276 from 578, though it isn't raising funds in the IPO. Its capacity puts it behind peers such as Fakeeh Care Group, Dr Sulaiman Al Habib Medical Services, Middle East Healthcare Company and Mouwasat Medical Services Company, which have between 952 and 2,965 beds. They have market capitalisations between SR5.89bn and SR94.5bn and trade at 11.8–30.2 times 2025 EV/Ebitda, with Dr Sulaiman trading at the highest multiple. Institutional books close on Thursday, pricing will be announced on May 26 and a retail offer for up to 20% of the deal will be open on May 28–29. Final allocations will be announced on June 4 and excess subscriptions refunded the same day. Total expenses of the offering are expected at SR41m. SNB Capital is lead manager, and joint bookrunner with EFG Hermes, with the two banks underwriting 82.9% and 17.1%, respectively.
Zawya
05-05-2025
- Business
- Zawya
Specialized Medical Company to float 30% on Tadawul
Riyadh – Saudi healthcare provider Specialized Medical Company (SMC) intends to proceed with an initial public offering (IPO) and the listing of 75 million ordinary shares on the Main Market of the Saudi Exchange (Tadawul). On 26 March 2025, the Capital Market Authority (CMA) approved the company's application for registering its share capital and the offering of 30% of its total issued share capital. The offering price will be determined at the end of the institutional bookbuilding period, according to a press release. The IPO Shares will be offered for subscription to individual and institutional investors, including institutional investors outside the US. Meanwhile, the net proceeds from the IPO will be distributed to the selling shareholders, yet the company will not receive any part of the offering proceeds. CEO of SMC, Bassam Chahine, said: 'For over 25 years, SMC has been proud to serve the Riyadh community, building a legacy as one of the capital's trusted private healthcare providers. Our journey has been defined by clinical excellence, operational excellence, and a commitment to delivering world-class medical care tailored to the needs of our growing population.' Chahine added: 'Today, as Riyadh expands northward and Saudi Arabia's healthcare sector evolves under Vision 2030, we are entering an exciting new chapter.' The CEO noted: 'Our planned listing on the Main Market of the Saudi Exchange will enable us to accelerate our growth strategy – doubling our capacity with three new hospitals in Northern Riyadh, further strengthening our role in expanding access to high-quality healthcare in the Kingdom.' From his part, Hani Charani, the CFO of SMC, said: 'SMC has demonstrated consistent financial strength, marked by double-digit revenue growth, expanding margins, and prudent capital management. Our ability to grow sustainably while maintaining operational efficiency underscores the resilience of our business model.' The CFO added: 'The IPO will provide us with flexibility to accelerate our strategic agenda, invest in capacity, technology, and innovation, and strengthen our leadership in one of the region's most dynamic healthcare markets.' Charani concluded: 'We are entering the public markets with ambition, resilience, and clear visibility on long-term growth.' Source: Mubasher
