Al Majdiah publishes IPO prospectus to float 90M shares on TASI

Logo of Dar Al Majed Real Estate Co. (Al Majdiah)

Dar Al Majed Real Estate Co. (Al Majdiah) published its initial public offering (IPO) prospectus to list 90 million shares on the Main Market (TASI).

The offered shares represent 30% of the company’s SAR 300 million capital, divided into 300 million shares, at a nominal value of SAR 1 each.

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The retail subscription period will run from Aug. 14-18.

According to the prospectus, the book-building process and institutional subscription period will take place from July 29 to Aug. 4.

The Capital Market Authority (CMA) approved the IPO application on March 20.

The IPO will be limited to two categories of qualified investors:

Tranche A includes participating parties such as investment funds, companies, qualified foreign investors (QFIs), GCC corporate investors, and others through swap holders. This tranche got 100% of the offering, or 90 million shares. However, the lead manager may reduce this allocation to 72 million shares, or 80% of the total, depending on retail demand.

Tranche B is designated for retail investors, including Saudi nationals, non-Saudi residents, and GCC nationals who have active investment accounts and portfolios with CMA-licensed receiving agents. Up to 18 million shares, or 20% of the offering, would be allotted to this tranche.

Company Profile

Incepted in 2014 and based in Riyadh, Dar Al Majed (or Al Majdiah) was converted from a limited liability firm to a closed joint-stock company in 2023. It operates in real estate activities, boasting an issued capital of SAR 300 million. Its commercial registration number is 1010417874.