Retail subscription to Marketing Home’s 960,000 shares on TASI starts today

Marketing Home Group prepares for TASI debut 

Retail investors started today, Aug. 19, subscription to 960,000 shares of Marketing Home Group for Trading Co. (MHG) on the Main Market (TASI), at SAR 85 each based on the book-building process.

The retail offering will run for two days, the company added.

The retail tranche got 20% of the total shares on offer.

For More IPOs

In March, the Capital Market Authority (CMA) approved the company’s application to float 4.8 million shares on TASI, representing 30% of its SAR 160 million capital, divided into 16 million shares at a par value of SAR 10 each. 

This is the ninth IPO on TASI this year after Derayah Financial Co. on Feb. 20, Arabian Company for Agricultural & Industrial Investments (Entaj) on Feb. 26, and Umm Al Qura for Development and Construction Co. (Masar) on May 5. This is in addition to United Carton Industries Co. (UCIC) on May 27, flynas Co. on June 18, Specialized Medical Co. (SMC) on June 25, Sport Clubs Co. on July 8 and Dar Al Majed Real Estate Co. (Al Majdiah) on Aug. 14.

Tadawul witnessed 14 IPOs last year, following listings by  Middle East Pharmaceutical Industries Co. (Avalon Pharma) on Jan. 30, Modern Mills for Food Products Co. on March 5, Miahona Co. and Dr. Soliman Abdulkader Fakeeh Hospital Co. (Fakeeh Care) on May 21, Saudi Manpower Solutions Co. (SMASCO) on May 26, Al Taiseer Group Talco Industrial Co. (TALCO) on May 28, Rasan Information Technology Co. on May 29, Almajed for Oud Co. on Sept. 15, Arabian Mills Co. on Sept. 18, Fourth Milling Co. (MC4) on Oct. 2, Tamkeen Human Resources Co. on Nov. 5, United International Holding Co. (Tasheel) on Nov. 19,  Almoosa Health Co. on Dec. 23 and Nice One Co. on Dec. 24.

Company Profile

MHG is a Saudi closed joint-stock company based in Riyadh. It was incepted as a sole proprietorship in 2005.

The group focuses on construction materials as well as brand development and management. Its core activities include manufacturing of concrete, cement, gypsum, and structural metal products, as well as building construction.

This is besides engaging in the wholesale trading of fuel as well as solid, liquid, and gas, along with the retailing of hardware, paint, glass, home appliances, and furniture. This is in addition to the provision of land freight and warehousing services.

Its core activities cover the following main business segments:

- Tiles and Accessories: Launched under the "Ceramic Home" brand in 2006, this segment includes a wide range of ceramic and porcelain products.

- Lighting Products: Established in 2013 under the "Lighting Stores" brand, this segment covers a wide range of indoor and outdoor lighting solutions, along with smart devices that meet the functional and aesthetic needs of residential, commercial, and industrial spaces.

- Sanitary Ware Products: Launched in 2020 under the "Hatch Sanitary" brand, the segment offers a comprehensive range of products, including toilets, basins, and other bathroom accessories, distributed through an extensive distribution network.

- HVAC Systems: Launched in 2022 under the "Ice Bear" brand, to provide high-quality cooling solutions.

The tiles products and their accessories account for the largest share of the company's revenues, representing approximately 44%, exceeding SAR 124 million in value. Lighting products followed with SAR 120.9 million, or 42.8% of the overall topline — which amounted to more than SAR 282.3 million as of Sept. 30, 2024.

The table below breaks down MHG’s revenues by product category for 2022 and 2023 as well as the first nine months of 2024.

Revenues by Product Category (SAR mln)

The group directly owns five subsidiaries, including one based in Saudi Arabia and four others abroad. It also indirectly owns one subsidiary in China.