Investors put in $91 billion of orders for Fakeeh Care Group’s IPO which is set to be the Tadawul’s biggest listing of the year.
Bloomberg reports that Dr. Soliman Abdul Kader Fakeeh Hospital’s Riyadh IPO was covered 119 times by institutional investors, according to a statement on Tuesday. The company and the founding family are set to raise 2.86 billion riyals ($763.4 million) in the listing. Adding that, “Abu Dhabi Investment Authority and Olayan Saudi Investment Co. were cornerstone investors in Fakeeh Care Group’s IPO, agreeing to subscribe for 1.04 million shares and 1.96 million shares, respectively. It’s the first time the Abu Dhabi wealth fund is participating in a Saudi IPO as a cornerstone investor.”
“Fakeeh Care Group is among four Saudi companies that have announced their intentions to go public in the last few weeks. The kingdom’s stock exchange expects the burst of activity to continue, with more than 10 companies waiting in the wings, its chief executive officer said last week.”
PwC’s latest IPO+ Watch report noted that initial public offerings in the Middle East are positioned for positive aftermarket performance this year, following significant post-IPO gains in the first quarter. The report highlighted, “the Saudi Stock Exchange’s emergence as a dominant force in Gulf Cooperation Council equity market launches activity, hosting the majority during the quarter, underscoring the region’s attractiveness to investors seeking dynamic opportunities.”
“Tadawul is reported to remain the most active exchange in the GCC with all but one IPOs taking place on either Tadawul main market or the Nomu parallel market,” the report stated.
