Entaj retail IPO 30.2x covered, 1 share/subscriber

Logo of  Arabian Co. for Agricultural & Industrial Investments (Entaj)

Arabian Company for Agricultural & Industrial Investments (Entaj) successfully completed of its retail subscription for listing on the Main Market (TASI), SNB Capital said in a statement to Tadawul.

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SNB Capital is the lead manager, financial advisor, book-runner and underwriter on the initial public offering (IPO).

As many as 499,021 retail investors subscribed to the offering at a final price of SAR 50 per share, with total retail requests of nearly SAR 1.4 billion. The IPO was 30.2x covered.

Individual investors will receive a minimum of one share each, while rump shares will be allocated on a pro-rata basis based on the size of each individual investor’s request compared to the total remaining subscribed shares, at an average allocation factor of 1.5%. 

According to data compiled by Argaam, retail investors subscribed during Feb. 26-27, to 900,000 shares of Entaj at SAR 50 per share, which was determined through the book-building process.

Entaj offered nine million shares, representing 30% of the company's SAR 300 million capital divided into 30 million shares at SAR 10 each, on the Main Market (TASI).

The institutional subscription ended last week, with the offering 208.4x oversubscribed.