The retail tranche of fintech startup Rasan’s IPO was 12.8x oversubscribed, it said in a filing to Tadawul. The company’s debut on Tadawul’s main market will see it selling a 30% stake through an offering of existing and new shares, after it priced the IPO at SAR 37 per share.

The breakdown: Retail investors were allotted 10% of the total offering, and will receive three shares each out of the total 2.3 mn shares allocated to the retail tranche. Institutional investors are receiving the remaining 90% of the shares on offer.

Proceeds + market cap: The offer price will allow the fintech outfit to raise SAR 841 mn from the IPO, and values the company at SAR 2.8 bn post-listing, according to our calculations. Some SAR 40.4 mn will be deducted from the proceeds to cover the offering’s expenses, according to the prospectus (pdf).

Rasan’s services include ins. aggregator Tameeni, B2B leasing ins. platform Treza, automotive auction platform Awal Mazad, and car repair workshop Warshti. With offices in the Kingdom, the UAE, and Egypt, the company claims to have more than 8 mn customers, 60 partners, and 10 products, according to its website.

ADVISORS- Saudi Fransi Capital is quarterbacking the transaction as financial advisor, lead manager, bookrunner and underwriter. Morgan Stanley Saudi Arabia is also acting as financial advisor, bookrunner, and underwriter. Receiving banks include Banque Saudi Fransi and AlRajhi Bank. Latham & Watkins is Rasan’s legal advisor, while White & Case was appointed as legal advisor to the lead manager, financial advisors, underwriters, and bookrunners. PwC is financial due diligence advisor and marketing consultant and EY is serving as auditor.

Tags: