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Modern Mills Company (MMC), a milling and nutrition company in Saudi Arabia, has decided to sell a 30% stake via an initial public offering (IPO). It will list its shares on the Main Market of the Saudi Exchange (Tadawul).
MMC will offer 24,549,600 ordinary shares, representing 30% of its issued share capital.
The final share price will be determined following the book-building period.
The shares will be offered for subscription to institutional investors (Participating Parties) and individual investors (Individual Investors), including Participating Parties outside the US.
MMC generated a revenue of SAR 452 million in the first half 2023. In 2022, the company generated a revenue of SAR 978 million and an EBITDA margin of 33%.
The selling shareholders are Mada International Holding Company (50% share pre-offering), Al Ghurair Foods Company (45% share pre-offering), and Masafi Company (5% share pre-offering).
The company appointed HSBC Saudi Arabia as sole financial advisor, global coordinator, joint bookrunner, underwriter, and lead manager, in addition to Emirates NBD Capital KSA as joint bookrunner and underwriter. Moelis & Company Saudi Limited has been appointed as the advisor to the selling shareholders.
AlRajhi Bank and Saudi National Bank have been appointed as receiving agents.
(Writing by Bindu Rai, editing by Seban Scaria)
