{"id":99213,"date":"2025-07-30T00:00:00","date_gmt":"2025-07-30T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/ksa\/2025\/07\/30\/dar-al-majeds-offering-sold-out-in-minutes\/"},"modified":"2025-07-30T00:00:00","modified_gmt":"2025-07-30T00:00:00","slug":"dar-al-majeds-offering-sold-out-in-minutes","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/ksa\/2025\/07\/30\/dar-al-majeds-offering-sold-out-in-minutes\/","title":{"rendered":"Dar Al Majed\u2019s offering sold out in minutes"},"content":{"rendered":"

<\/strong>Dar Al Majed\u2019s IP<\/strong>O saw its institutional tranche fully booked within minutes of<\/strong> opening <\/strong>yesterday<\/strong>, setting the offer price within the SAR 13.5-14 range per share, Bloomberg<\/a> reports, citing people it says are familiar with the matter. At the top of the range, the share sale could see the property developer raise up to SAR 1.26 bn in proceeds, implying a market cap of SAR 4.2 bn at listing.<\/p>\n

(** Tap or click the headline above to read this story with all of the links<\/strong> to our background and outside sources.)<\/p>\n

REFRESHER- <\/strong>Dar Al Majed is taking a 30% stake<\/a> to Tadawul\u2019s main market through a secondary offering of 90 mn existing shares, open to both local and regional investors. Selling shareholders \u2014 who will see their combined stake fall to 51% from 73% \u2014 will get all the proceeds, excluding SAR 40 mn in IPO-related costs.<\/p>\n

What\u2019s next:<\/strong> Institutions have until Monday, 4 August to buy into the offering, with each able to book between 250k and 15 mn shares. Some 20% of the IPO will be open to retail investors between 14 and 18 August, provided there is sufficient demand. Final allocations will take place on Wednesday, 20 August.<\/p>\n

Why the rush to market?<\/strong> Dar Al Majed\u2019s IPO adds to a growing roster of real estate firms turning to Tadawul for visibility, fresh capital, and shareholder liquidity, a trend fueled by rising housing demand, tighter bank credit, and expanding project pipelines. Developers also stand to benefit from the Kingdom\u2019s new rules on foreign property investment<\/a> and broader efforts to raise home ownership under the government\u2019s diversification agenda.<\/p>\n

IN CONTEXT- <\/strong>This momentum mirrors that of PIF-backed Umm Al Qura for Development and Construction\u2019s debut, which floated a 9.1% stake in a SAR 2 bn<\/a> primary offering back in March, what was 1Q\u2019s biggest IPO and the second-largest in the Kingdom<\/a> year-to-date. More real estate players are waiting in the wings, with Alramz Real Estate recently securing approval<\/a> to float a 30% stake and Al Othaim Investment preparing to list<\/a> later this year.<\/p>\n

ADVISORS- <\/strong>Saudi Fransi Capital is quarterbacking the transaction as financial advisor, lead manager, underwriter, and bookrunner, while Baker McKenzie is providing counsel. PwC is acting as a financial due diligence advisor, while Colliers is serving as a market consultant.<\/p>\n

Receiving agents include our friends at EFG Hermes KSA<\/strong>, along with Al Rajhi Capital, Sab Invest, Alinma Capital, Riyad Capital, Aljazira Capital, Alisthimar Capital, ANB Capital, SNB Capital, Derayah Financial, Yaqeen Capital, Alkhabeer Capital, and Sahm, among others.<\/p>\n

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