BinDawood prices IPO at top end, with RM122b in bids

DUBAI • Saudi Arabia’s BinDawood Holding Co is set to sell shares at the top of the price range for its IPO following a short delay to allow investors to amend their orders in light of previously undisclosed third-party loans.

The offer was priced at 96 riyals (RM107.48) a share, the company said yesterday. BinDawood is set to raise about 2.19 billion riyals from the listing and will be valued at just under 11 billion riyals.

The listing was about 49 times oversubscribed, generating orders worth 106.9 billion riyals. This indicates investors were unfazed by the delay and the disclosure of 284 million riyals of related-party transactions midway through the book-building.

BinDawood had said it lent the money to Amwaj Real Estate Co and AQimma Hotels Co between July and September and the loans have since been repaid. The period for buyers to make changes to or withdraw their IPO orders ended on Monday.

A planned offering to retail investors will take place from Oct 8 to Oct 12.

The IPO comes amid a boom in online retail spending and as Saudi Arabia sees more companies listing on the local exchange. — Bloomberg