Saudi insurers seek $69.3m in IPOs

EYEING IPO: Atheeb's IPO was Saudi Arabia's first since August after bourse regulators froze fresh listings.(Getty Images)

Four Saudi insurance firms launched on Saturday initial public offerings to raise a total SAR260m ($69.3m).

Axa Cooperative Insurance Co and Wiqaya Takaful Insurance and Re-insurance Co will offer a 40 percent stake, or 8 million shares each.

Ace Arabia Cooperative Insurance Co will also offer a 40 percent stake equivalent to 4 million shares, while Al Rajhi Company for Cooperative Insurance will offer 30 percent, or 6 million shares.

Shares in the IPOs, which will take subscriptions over the April 18-27 period, have all been priced at 10 riyals each, the stock market regulator said.

Fixed-line phone operator Etihad Atheeb Telecommunications Co is the only firm to have listed its shares this year on the Saudi bourse. Its 300 million riyal IPO was about 2.5 times oversubscribed in February.

Atheeb's IPO was Saudi Arabia's first since August after bourse regulators froze fresh listings. The Saudi bourse crashed in 2006 and has not recovered.

Several Saudi firms, including fast-food chain Herfy, edible oil manufacturer Afia, soft-drinks maker Aujan and steel maker Al Ittefaq Steel Products Co, have had to postpone plans to sell shares to the public. (Reuters)

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