- Addis Holding, a company specializing in oil and gas drilling and production services across the Middle East and North Africa, has disclosed its plan to introduce 30% of its shares on the Saudi Stock Exchange. The move involves the sale of 101.6 million existing shares from major stakeholders Addis Investments Holding (54.5%), Saudi's Public Investment Fund (35.5%), and Zamil Group Investments Company Ltd. (10%). Additionally, the company intends to issue 237.1 million new shares through a capital increase.
- This substantial IPO could generate around $1 billion in funds, marking one of the most significant IPOs scheduled in the Kingdom for the current year. The process will see institutional subscription taking place from September 10 to 14 to establish order books and determine the offering price, followed by individual investor subscription on September 20 and 21. The shares being sold by existing shareholders represent 9% of the issued capital, while the newly issued shares constitute 21%, collectively accounting for 30% of the total issued capital post-offering.
Why it matters
The timing of this offering, along with the involvement of prominent institutional investors, highlights the company's strategic approach to capitalize on market opportunities and investor demand. The success of this IPO could not only provide Addis Holding with substantial funds for its operations but also signify further investor confidence and interest in the energy sector within the Middle East and North Africa region.
