{"id":98987,"date":"2025-07-23T00:00:00","date_gmt":"2025-07-23T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/ksa\/2025\/07\/23\/sport-clubs-ipo-defies-tadawul-drag-on-first-day\/"},"modified":"2025-07-23T00:00:00","modified_gmt":"2025-07-23T00:00:00","slug":"sport-clubs-ipo-defies-tadawul-drag-on-first-day","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/ksa\/2025\/07\/23\/sport-clubs-ipo-defies-tadawul-drag-on-first-day\/","title":{"rendered":"Sport Clubs IPO defies Tadawul drag on first day"},"content":{"rendered":"

<\/strong>Sport Clubs Comp<\/strong>any\u2019s stock jumped 24% to close at SAR 9.3 apiece on its debut<\/strong> yesterday<\/strong>, bucking a wider trend of slumping Tadawul IPOs. More than 63.4 mn shares changed hands during the day, generating a total turnover of SAR 548.5 mn.<\/p>\n

ICYMI:<\/strong> The Riyadh-based fitness firm floated a 30% stake<\/a> in a hybrid offering, which saw its retail tranche 5.3x oversubscribed<\/a> and its institutional tranche 44.1x oversubscribed<\/a>. The company raked in SAR 257.3 mn in proceeds, set to fund expansion and upgrades. <\/p>\n

What\u2019s next: <\/strong>The gym operator\u2019s shares will be allowed to fluctuate within a 30% range, with a static band of 10% for the first three trading days. Starting from the fourth day, shares will be allowed to trade at a 10% volatility as circuit breakers kick in.<\/p>\n

Ending the dry spell?<\/strong> Tadawul\u2019s last three main market listings \u2014 namely Specialized Medical<\/a>Company<\/a>, Flynas<\/a> and United Carton Industries<\/a> \u2014 all saw muted debuts despite a solid order book, amid broader market jitters and concerns over frosty valuations. All three are still trading below IPO levels as of yesterday\u2019s close.<\/p>\n

The main market struggled in the first half<\/strong>. TASI closed 1H in the red, shedding 7.2%<\/a> in the first six months of the year and bucking a positive trend seen in some of the most relevant regional peers like Abu Dhabi\u2019s ADX and Dubai\u2019s DFM. The sharp fall was driven by regional geopolitical tensions, oil price fluctuations, and declining investor appetite for small- and medium-sized enterprise stocks.<\/p>\n

ADVISORS- <\/strong>BSF Capital is quarterbacking the transaction as lead manager, financial advisor, bookrunner, and underwriter. Kirkland & Ellis International is providing counsel. PwC is serving as financial due diligence advisor, Dr. Mohamed Al-Amri & Co. Chartered Accountants as auditor, and Portas Consulting MEA as market consultant.<\/p>\n

ALSO IN THE PIPELINE- <\/strong><\/p>\n