Amlak International Completes IPO With Retail Coverage At 2,690%

The IPO of Saudi retail company Amlak International has completed, with retail coverage at 2,690 percent, according to NCB Capital, the financial advisor, lead manager, bookrunner and underwriter for the IPO.

In a statement, NCB said that 266,821 subscribers invested SAR1.17 million at an offer price of SAR16 per share. The institutional tranche of the IPO had previously achieved coverage of 4.98x.

The offering – the first IPO to take place in Saudi Arabia since March – saw total coverage of 7.67x.

For the first time in the local market, the IPO roadshow was conducted entirely remotely, with investor presentations and meetings all staged on virtual platforms.

“We are pleased by the extremely healthy response to our IPO, which is evidence of the long-term view that the investment community has taken towards the Saudi economy and our company," Adullah Al Sudairy, CEO of Amlak said in a statement.

“While financial markets and the wider business environment have been volatile in recent months, our equity story is one of both resilience and a path to long-term growth,” he added. “The attractive fundamentals that exist for our industry remain in place.”

In total, 2,718,000 shares – representing 10 percent of the offer shares – were allocated to retail subscribers after approval from the kingdom’s Capital Market Authority.

The total offer comprised 27,180,000 shares, or 30 percent of the company’s share capital. The final allocation of shares and refund of excess money will take place on July 12 and 14.