Saudi Arabia’s United International Holding Co. (UIHC) has set the price range for its initial public offering (IPO) on the Saudi Exchange (Tadawul), HSBC Saudi Arabia, the financial advisor, lead manager, book runner and underwriter of the offering, has revealed.
The subsidiary of Saudi-listed United Electronics Company (eXtra) will price its shares at between SAR 120 and SAR 132 per share, suggesting an offering size of between SAR 900 million and SAR 990 million, which would translate to an equity value estimated between SAR 3 billion and SAR 3.3 billion.
UIHC T recently issued a prospectus for offering 7.5 million shares, or 30% of its capital, on the Main Market.
United International plans to allocate a total of 7.5 million ordinary shares, representing 100% of the shares on offer, to participating categories, with 1.17 million shares being earmarked for major shareholders.
The book-building phase for institutional investors is scheduled from October 28 to November 4. Key investors, including Al Zamil Investment Group, Tawuniya Cooperative Insurance Co., and Abdulkadir Al Muhaidib & Sons Co., have already committed to subscribing as major shareholders, totalling 1.17 million shares or 15.6% of the offered shares.
This book-building process is exclusive to qualified investor categories, and the final offering price will be determined once it concludes. The retail offering is scheduled for November 19-20.
