Saudi Arabian low-cost carrier Flynas has priced its initial public offering (IPO) at SAR 80 ($21.33) per share, the top end of its indicated range, raising SAR 4.1 billion ($1.1 billion). The offering comprises 51.26 million shares, representing 30% of the company’s share capital.
The institutional tranche was nearly 100 times oversubscribed, attracting SAR 409 billion ($109 billion) in orders, according to the lead manager of Saudi Fransi Capital. This marks the largest order book in the Saudi market in recent times.
The IPO includes newly issued shares and stock offered by existing shareholders, including Kingdom Holding Company and National Flight Services Co. Approximately 34% of the net proceeds will support Flynas’s growth strategy and general corporate purposes, with the remaining funds going to selling shareholders.
Flynas, backed by Prince Alwaleed bin Talal, is the first airline in the Gulf to go public in nearly two decades, following the listings of Air Arabia in 2007 and Jazeera Airways in 2004.
The retail subscription period is scheduled from May 28 to June 1, offering 20% of the total shares. The company plans to list on the Saudi Tadawul exchange in June.
Flynas operates an all-Airbus fleet of 61 aircraft with a firm order book of 225 aircraft. In the first nine months of 2024, the airline carried 10.9 million passengers, operating 1,861 weekly flights with a seat occupancy rate of 85.2%.
