Arab Sea Information hires KASB to advise on IPO

Arab Sea Information Systems has mandated KASB Capital as financial advisor for its initial public offering (IPO) and listing on Saudi Arabia’s proposed secondary market, a statement from the financial advisor said.

No details on the size of the stake sale were provided.

KASB is working on completing the offering paperwork and obtaining the related regulatory approvals from the Capital Market Authority (CMA), the kingdom’s market regulator.

Qualified investors will be invited to participate in the IPO, the statement added.

Arab Sea, which was incorporated in 1981, converted into a closed Saudi joint stock with SAR 100 million in capital.

The Riyadh-based company operates in information technology industry, including computers, network and internet services, planning of government finances, costs and plant systems, points of sale and business solutions for small and medium enterprises (SMEs).  

In November, Saudi Arabia’s CMA issued draft rules for the new secondary market as part of its efforts to boost the role of SMEs in the local economy, Argaam earlier reported. 

The new secondary stock market will likely be launched by the end of February 2017.