Al Kuzama issues prospectus for Nomu IPO: High-end restaurant operator Al KuzamaTrading is floating some 422.4k new shares, representing 10.7% of its post-IPO capital, on Tadawul’s parallel market Nomu next month, according to its prospectus (pdf). The primary share sale will be limited to qualified investors, with the proceeds earmarked to support the firm’s growth plans.

What’s next? The subscription period is set to run from Sunday, 18 May to Thursday, 22 May, whereby qualified investors will be able to subscribe to a maximum of 197.1k shares each and a minimum of 10 shares. The final allocation is slated for Tuesday, 27 May.

Use of proceeds: Al Kuzama will use the fresh funds to boost its working capital and expand across the Kingdom over the next three years. Around SAR 3 mn will be set aside to cover IPO-related expenses.

Substantial shareholders will retain majority control but will not receive any proceeds from the IPO. The firm’s three majority shareholders will see their ownership diluted to a 54.1% stake, down from 60.6%; their shares will be on lockup for 12 months from the first day of trading.

About Al Kuzama: Founded in 2013, Al Kuzama operates a chain of luxury restaurants in Riyadh and Khobar, including Lavash, Beit Omar, Ovvi, Armin, and Karazah, according to its website. The firm also provides catering services, warehousing, and food storage.

A snapshot of its latest financials: Al Kuzama’s net income grew roughly 23% y-o-y to SAR 34.1 mn last year. Total sales stood at SAR 298.4 mn in 2024, up 19.7% y-o-y.

ADVISORS- Yaqeen Capital is quarterbacking the transaction as lead manager and financial advisors, with RSM as accountant. Receiving agents include Derayah Financial, Al Rajhi Capital, and SNB Capital, among others.

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