United International says Tawuniya, Al Zamil, Al Muhaidib to subscribe to IPO

Logo of United International Holding Co.

United International Holding Co. announced today its supplementary prospectus for its initial public offering on the Main Market (TASI).

The company said, in its supplementary prospectus, that the selling shareholder and it received binding obligations from Al Zamil Investment Group, Tawuniya Cooperative Insurance Co. and Abdulkadir Al Muhaidib & Sons Co. to the issuer and selling shareholder, which must be disclosed in the supplementary prospectus as being material information.

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It indicated that Al Zamil Investment Co., Tawuniya and Abdulkadir Al Muhaidib & Sons will subscribe as major shareholders to 390,630 shares, totaling 1.17 million shares, or 1.6% of capital, each.

The company allocated those shares to the major shareholders within the offering process.

The subscription is limited to two categories of investors:

Tranche (A): Those who are qualified to participate in the book building process, as per instructions for book building and share allocations issued by the Capital Market Authority, including mutual funds, corporates, and qualified foreign investors and GCC investors, to which a total of 7.5 million shares, or 100% of offered shares, will be allocated. The financial advisor will have the right to reduce the number of their allocated shares to 90% of total offered shares, at 6.75 million as a minimum, including 1.17 million shares to be allocated for major shareholders in all cases.

Tranche B: Retail investors - This tranche comprises Saudi nationals, including and any non-Saudi natural person who is a resident in the Kingdom and any GCC national, who holds a bank account with one of the receiving entities, to which 750,000 shares (10% of total shares) will be allocated.

United International, a subsidiary of United Electronics Co. (eXtra),which owns shares and invests in subsidiaries operating in the field of digital financial services across multiple products and categories, as well as Sharia-compliant consumer financing services in the Kingdom.

The company issued recently its prospectus for offering 7.5 million shares, or 30% of its capital, on the Main Market.

The period for registering requests and book building period will run for eight days from Oct. 28 to Nov. 4, 2024.

The period of the retail offering will run for two days, from Nov. 19-20, 2024.

In June, the Capital Market Authority (CMA) approved the company's application to float its shares on the main market.