Monday 20 Dhu al-Hijjah 1441 - 10th August 2020
Facebook Twitter Linkedin Youtube RSS
Eye of Dubai
 
Sign up for newsletter:
Advertise with us
℃ Dubai   
Close
| Register | Login
Username
Password
Image Verification
Refresh
Close
|
Business & Money NEWS
Business & Money is sponsored by:
Posted on: Tuesday 10 December, 2019 3:58 pm
Samba Capital: The world’s largest IPO is completed in a record time

Samba Capital and Investment Management Company (“Samba Capital”), in its capacity as Lead Manager, Joint Financial Advisor, Joint Global Coordinator, Joint Underwriter and Joint Bookrunner in the Initial Public Offering (“IPO”) of Saudi Saudi Aramco, announces the completion of the world’s largest IPO for the world’s largest oil company. The listing of Saudi Aramco’s shares will take place tomorrow, Wednesday 9 December 2019G in the Saudi Stock Exchange (Tadawul). The issue was over-subscribed with aggregate subscriptions amounting to SAR 446 billion representing coverage of 465%.

Samba Capital indicated that extending the period specified for the opening orders upon listing the company's shares in Tadawul for an additional period of 30 minutes, as is the practice in most global markets, would allow for determining the price in a more effective way by allowing additional time for market dealers to place buy and sell orders.  This would positively impact on the opening price.

Samba Capital stated that the management of the IPO process was carried out according to global best practices and the highest levels of professional standards. This was achieved in record time when compared to the experience of global markets.

Samba Capital also pointed out that the allocated shares for more than 5 million individual retail subscribers had been deposited in their portfolios less than 18 hours after the announcement of the final price. The listing and trading of the company’s shares on Tadawul will start just four working days after the end of the subscription phase following the refund of the surplus subscription monies for individual retail subscribers on Friday 6 December 2019.  This timeframe is shorter than even the global markets standard.

Previously, Samba Capital had announced the allocation mechanics and the final results of the retail subscriptions, following the reconciliation and audit by the Receiving Banks. The number of individual subscribers was 5.056 million, with a total subscription value of SAR 49.2 billion. Saudi subscribers were allocated 96.6% of the retail offering and non-Saudis (expatriates and GCC nationals) 3.4%. The mechanics of the share allocation process for the Retail Tranche was based on the allocation of up to 1500 shares for every subscriber, which represented 97 .5% of the total number of individual subscribers, with the remaining shares allocated on a pro rata basis at 10.941%.

For the Institutional Tranche, the final value of subscriptions totaled SAR 397 billion, which represented an oversubscription of 620% of the 2 billion shares offered in the Institutional Tranche amounting to SAR 64 billion (assuming no exercise of the purchase option).  This was allocated according to the following percentages to the qualifying entities authorized to subscribe in this Tranche:

-       Saudi companies (including listed companies, private companies, insurance companies and authorized persons), 37.5%.

-       Public funds, private funds and funds managed by authorized persons, 26.3%.

-       Saudi government institutions, 13.2%.

-       Non-Saudi investors (including GCC investors, qualified foreign investors and non-resident investors through swap agreements), 23.1%.


Print this Article
comments powered by Disqus
ADD TO EYEOFDUBAI
  • Mobily
  • Emirates Airline
  • Saudi Arabian General Investment Authority
  • Alsorayai Group
  • Emaar
  • HP
  • Council of Saudi Chambers
  • Modon
  • SAUDIA AIRLINES
  • Emirates NBD
  • du
  • Dubai Chamber
  • Dubai Tourism
  • Microsoft
  • Riyadh Chamber
Eye Of Dubai
Islamic Date Converter Close
Gregorian Calender
Month Day Year
Hijri/Islamic Calender
Month Day Year
Day of the Week:

World Time Close
Unit Converter Close
Kindly select the desired Values & Units:
Convert
 
Forgot Your Password Close
We will send an email to your inbox to clear things up
Username or Email
* Mandatory fields / Error alert
Submit
Track Shipments Online Close
Enter Aramex AWB number
Enter DHL AWB number
Enter Fedex AWB number
Enter TNT AWB number
Enter UPS AWB number
Daily Newspaper Close
www.emaratalyoum.com/
www.albayan.ae/
www.khaleejtimes.com/
www.alittihad.ae/
www.gulfnews.com
www.thenational.ae/
www.alroeya.ae/
www.emirates247.com/
www.alkhaleej.ae/
www.gulftoday.ae/