{"id":86925,"date":"2024-06-06T00:00:00","date_gmt":"2024-06-06T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/ksa\/2024\/06\/06\/fakeeh-care-shares-rise-10-in-tadawul-debut\/"},"modified":"2024-06-06T00:00:00","modified_gmt":"2024-06-06T00:00:00","slug":"fakeeh-care-shares-rise-10-in-tadawul-debut","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/ksa\/2024\/06\/06\/fakeeh-care-shares-rise-10-in-tadawul-debut\/","title":{"rendered":"Fakeeh Care shares rise 10% in Tadawul debut"},"content":{"rendered":"

Fakeeh Care Group\u2019s shares closed up 10.1% on their trading debut on <\/strong>Tadawul\u2019s main market yesterday.<\/strong> The company\u2019s shares ended the trading day at SAR 63.30, after debuting at SAR 57.50 apiece.<\/p>\n

REFRESHER-<\/strong> Fakeeh Care took a 21.5% stake to market<\/a> through an offering of both new and existing shares. The IPO was priced top of the range, giving the family business a market cap of 13.3 bn on the first day of trading. The Abu Dhabi Investment Authority (Adia), the UAE\u2019s largest sovereign wealth fund, had emerged as a key buyer in the IPO with a cornerstone investment of 1.04 mn shares, according to a supplementary prospectus<\/a>.<\/p>\n

Not big a first-day pop as it could have been \u2014 and you can probably blame Aramco:<\/strong> The Riyadh-based healthcare player\u2019s first day of trading recorded the \u201csmallest first-day gain\u201d of a company IPOing on the Tadawul over the past 12 months, according to Bloomberg<\/a> data. The first day performance \u201cjars with the overwhelming demand\u201d the offering saw during its bookbuilding process, which saw the institutional offering closing with a 119x oversubscription rate<\/a> and its retail tranche 14.5x oversubscribed<\/a>. Fakeeh Group\u2019s is the largest IPO in the Kingdom so far this year. <\/p>\n

Why? Aramco\u2019s follow-on offering is hogging liquidity in the market<\/strong>, with the oil giant kicking off the book-building process for the USD 12 bn secondary sale<\/a> earlier this week. Institutional book-building for the offering wraps up today and the retail book-building closed yesterday. The final allocation of shares and the offering\u2019s final price will both be announced tomorrow<\/a>. <\/p>\n

ADVISORS- <\/strong>Our friends at HSBC are acting as sole financial adviser. HSBC is joint bookrunner together with our friends at EFG Hermes as well as ANB Capital. Moelis is advising the selling shareholders, while AlRajhi Bank, Saudi National Bank, Arab National Bank, SAB, Alinma Bank and Bank Aljazira are serving as receiving banks.<\/p>\n

UP NEXT IN THE IPO PIPELINE-<\/p>\n

Other transactions that are now in the market or expected soon:<\/strong><\/p>\n