Supermarket chain Spinneys Dubai raised AED 1.38 bn (USD 380 mn) from its IPO after pricing it at the top of the initial price range, with over AED 71 bn in orders from local, regional, and international investors at the close of the offering period, according to a statement (pdf).

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Final share price: The Albwardy family-owned company set its final IPO price at the top of its initial price range at AED 1.53 per share. This gives the company a market cap of AED 5.51 bn.

The breakdown: The institutional portion of the offering was heavily oversubscribed, while there tail portion closed on Monday at a 20x oversubscription rate, according to the statement. The retail giant boosted the size of the retail portion on high demand to 7% of the offering, with institutional investors getting 93%. It also attracted Emirates International Investment Company and Franklin Templeton as cornerstone investors, with the two investors committing to purchase AED 275 mn worth of shares in the offering.

Shares will start trading on the DFM on Thursday, 9 May, under the ticker SPINNEYS, the statement reads.

Refresher: Al Seer Group is selling 900 mn of its shares — good for a 25% stake — in the company on the DFM. The IPO will be among the first by a family-owned business in the UAE, and comes ahead of plans to expand into Saudi Arabia in 1H 2024.

Advisors: Our friends at HSBC Middle East are joint global coordinators alongside EmiratesNBD Capital and Merrill Lynch. Our friends at EFG Hermes are joint bookrunners, while Rothschild Middle East is an independent financial advisor. Emirates NBD Capital is also acting as listing advisor, while Emirates NBD Bank is lead receiving bank. Other receiving banks include our friends at FAB as well as MBank and Commercial Bank of Dubai.

MARKETS THIS MORNING-

Asian shares are mixed this morning, with the Nikkei and Kospi in the red while Hong Kong’s Hang Seng is flat and the ASX 200 is up 0.3%. The Shanghai Stock Exchange remains closed as China observes an extended labor day holiday.

Traders seem to be happy with Jay Powell’s comments that interest rates would stay put for a while longer: Dow, Nasdaq, and S&P futures are all up 0.4% or more in overnight trading.

European stocks look set for a softer open, with futures for most of the continent’s major benchmarks trending lower at dispatch time this morning.

EGX30

25,271

+3.4% (YTD: +1.5%)

USD (CBE)

Buy 47.80

Sell 47.94

USD (CIB)

Buy 47.83

Sell 47.93

Interest rates CBE

27.25% deposit

28.25% lending

Tadawul

12,345

-0.4% (YTD: +3.16%)

ADX

9,032

-0.4% (YTD: -5.7%)

DFM

4,133

-0.5% (YTD: +1.8%)

S&P 500

5,023

-0.3% (YTD: +5.3%)

FTSE 100

8,121

-0.3% (YTD: 6.5%)

Euro Stoxx 50

4,921

-1.2% (YTD: +8.8%)

Brent crude

USD 83.44

+3.4%

Natural gas (Nymex)

USD 1.93

-0.1%

Gold

USD 2,331.50

0.9%

BTC

USD 57,436.50

-4.2% (YTD: 36.0%)

THE CLOSING BELL-

The EGX30 rose 3.4% at yesterday’s close on turnover of EGP 2.4 bn (51.3% below the 90-day average). Local investors were net buyers. The index is up 1.5% YTD.

In the green: Talaat Moustafa Group (+7.9%), Heliopolis Housing (+7.9%) and Juhayna Food Industries (+7.1%).

In the red: Delta Sugar (-1.0%) and Edita (-0.7%).

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