The Saudi Tadawul Group announced last Tuesday that the individual subscription of shares in its initial public offering (IPO) would be raised from10 percent to 30 percent. On Monday, it announced that institutional subscription would cover 90 percent of shares while individual subscription would cover 10 percent shares that are set aside for IPO.

The plan is to offer 36 million ordinary shares, which represent 30 percent of the company’s capital of 120 million shares. As per the new decision, the number of shares that will be offered for individuals will be increased from 3.6 million to 10.8 million shares.

The company’s shares will be listed on the main Saudi Stock Exchange (Tadawul) “after completing all the procedures related to the offering and listing with the Capital Market Authority and the Saudi Tadawul”.

The group has obtained the approval of the Capital Market Authority (CMA) to amend the initial prospectus and the structure of the offering through a supplementary prospectus.

The Public Investment Fund represents the major shareholder in the company, as it owns all of its issued shares. The fund will own 70 percent of the company’s shares after the offering, and therefore it will retain the controlling stake in the company. — SG