Tadawul's final two major IPOs of the year pulled in a combined SR2.31bn (US$610m) of demand from retail investors in the final weeks of 2024.

Saudi hospital operator Almoosa Health received enough retail demand to almost cover its entire SR1.69bn IPO.

A 20% retail offer attracted SR1.4bn of demand from 395,986 investors leaving it nearly 4.1 times subscribed. The offer was open December 23–24.

Shares earlier priced at the top of a SR123–SR127 range after attracting SR173bn of institutional demand.

The vast majority of this demand was driven by local institutions, responsible for SR168bn of demand from 1,412 accounts.

International demand was still in excess of the deal size though, with SR5.5bn of orders from 39 institutions.

The offer saw the company raise funds with the issue of 9.3m new shares alongside a 4m share secondary sale.

Cornerstone commitments will see 22% of the offer go to insurance firm Tawuniya and conglomerate Alfozan Holding Company.

Refund of excess subscriptions is due by January 2 with a trading date still to be confirmed.

BSF Capital was lead manager and joint bookrunner with EFG Hermes, and Moelis advised.

The offer overlapped with the retail offer for 10% of the SR1.21bn IPO of online cosmetics retailer Nice One Beauty Digital Marketing Company which ran from December 24–25.

Nice One received SR908m of demand from 418,116 investors leaving the tranche 7.5 times covered.

Shares were offered at top of the range pricing of SR35, valuing the company at over SR4bn and making it the first tech unicorn to debut on Tadawul.

Like Almoosa, Nice One is using its IPO to raise funds and features cornerstones covering 12.5% of the deal in the form of Masarrah Investment Company, Mohammed Abdulaziz Al Habib & Sons and Frontier Investment Management Partners.

SNB Capital was lead manager and joint bookrunner with EFG Hermes.

Tadawul is expected to see a continued busy IPO pipeline in 2025 with approvals already granted from the Capital Market Authority for listings by United Cartons Industries, Arabian Company for Agriculture and Industrial Investment and most recently Umm Al Qura for Development and Construction Company which received approval on December 23 to list a 9.1% stake of 130.8m shares.

Public Investment Fund-backed Umm Al Qura is involved in the Masar Destination project to develop a commercial and hospitality district in Mecca as part of plans to increase the capacity of the city to host up to 30m pilgrims a year by 2030.

Approvals are valid for six months meaning all of these deals will need to fall into H1 2025 if launched.

While not yet approved by the CMA, a listing is expected early in the year for airline Flynas.

BSF Capital, Goldman Sachs and Morgan Stanley are running the deal.

Source: IFR