The Capital Market Authority (CMA) has given the go-ahead for Arabian Waterproofing Industries Co. (Awazel) to float 8.19 million shares, representing 30 percent of its capital, in an initial public offering (IPO).
The Riyadh-based company was established in 1981 with SAR 273 million in paid-in capital.
It produces more than 150 different types of materials used in road, bridges, roofing, waterproofing, damp proofing, and tanking.
Awazel, which posted SAR 73.2 million in net profit for the fiscal year ending March 2017, also manufactures bitumen (asphalt) based waterproofing materials in the Middle East.
The company aims to produce non-bitumen based materials for various applications.
Awazel sold almost 30 percent of total production overseas in the fiscal year ended March 31, 2017.
The firm owns majority stakes in six subsidiaries, three of which are located outside the Kingdom.
Awazel owns a 99 percent stake in Awazel UAE and Kuwait each, 95 percent in Awazel International Co. Qatar, 90 percent in Advanced Membranes, and 80 percent each in Al-Takamul Marble Plant and Al Sultan Marble & Granite Factory.
In terms of future projects, the company is expected to soon award a heat insulation project contract, after completing bid evaluations.
Operations are also likely to be resumed soon in the production line of plastic membranes. The line began production in late 2016; however, operations were suspended on a technical glitch.
Awazel also plans to expand in granite and marble manufacturing and add more production lines.
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