HSBC Saudi Arabia leads KSA’s first accelerated bookbuild
HSBC Saudi Arabia successfully led the execution of the first accelerated bookbuilding (ABB) process in the Kingdom with the sale of 16,000,000 shares in Almarai Company. The sale represents a 2 percent block of the share capital of the company. HSBC Saudi Arabia acted as the sole bookrunner in the transaction that was announced by the seller, Savola Group, on Tadawul on Sept. 12 and was executed on Sept. 13.
Majed Najm, CEO and board member of HSBC Saudi Arabia, said: “We are delighted to be the bookrunner in this important deal. This deal demonstrates our commitment toward our clients who we continue to support with our unique platform in the Kingdom and globally. We are thankful to the support received from the Capital Market Authority and from Tadawul, which was important in executing this transaction that has set a precedent.”
Faris Al-Ghannam, head of investment banking advisory at HSBC Saudi Arabia, said: “ABB is a very common process in international markets, whereby a competitive offering is conducted in a short period of time for pricing and selling blocks of shares in a listed company.
“Through the execution of this deal we have attracted significant investment inflows to the Kingdom from international institutional investors and the deal was well received by institutional investors across Europe and North America and generated a strong demand locally as well.”