UCIC IPO 8.9x covered, 6 shares allocated

Al Rajhi Capital, as the financial advisor, bookrunner, underwriter, and lead manager for the initial public offering (IPO) of United Carton Industries Co. (UCIC) on the Main Market (TASI), announced the end of subscription to the retail tranche.

 

The IPO was 8.9x covered. As many as 396,600 retail subscribers injected about SAR 1.07 billion, said the brokerage in a statement to Tadawul today, May 18.

 

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A minimum of six shares were allocated to each subscriber. Rump shares will be allocated on a pro-rata basis based on demand size, at an average allocation factor of 0.1072%.

 

For rump shares, each investor gets an additional allocation of one share in a descending order, starting with the highest demand until such shares were totally exhausted, it said.

 

According to Argaam's data, UCIC floated 2.4 million shares to retail subscribers, representing 20% of the total 12 million offer shares, at SAR 50 apiece, based on the book building process.

 

The Capital Market Authority (CMA) had approved, on Dec. 17, 2024, the company's TASI IPO application.

 

The institutional offering earlier took place, at a coverage ratio of 126x.

 

UCIC was established in 1988 as a Saudi closed-joint stock company in Jeddah.

 

The company operates with SAR 400 million in capital, divided into 40 million shares at a par value of SAR 10 each.