Cement company to sell off 50 per cent stake on stock market
Saudi Arabia’s Al-Jouf Cement Company plans to sell 50 per cent of its shares to the public in the hope that it can raise SAR650 million ($173.3m).
The shares will be offered between 19 to 25 July and Al-Jouf will offer Saudi investors 27.9m new shares and 37.1m existing shares at par value of SAR10 each, raising the total number of shares in the company to 130 million. The shares will be listed on the Saudi Stock Exchange (Tadawul).
About 55 per cent of the initial public offerings’ (IPO’s) proceeds will go to the founding shareholders of the company which started operations in May. Construction of the plant began the same month.
Saudi investment bank KSB Capital Group is acting as the financial adviser for the listing along with state-owned National Commercial Bank (NCB).
Al-Jouf will have a production capacity of 1.75 million tonnes per year, or around to 5,000 tonnes per day.