Retail investors from the UAE and Saudi Arabia who subscribed to Americana Restaurants’ initial public offering (IPO) got a minimum of 1,000 shares and a minimum of 892 shares each, respectively. The retail investors from both nations were allocated 10 percent per share in the IPO.
Following the allocation, Americana will be listed on the Abu Dhabi Securities Exchange (ADX) and Saudi Arabia’s Tadawul on December 12.
The offer price was valued at AED2.62 per share for UAE investors, whereas in Saudi Arabia it was priced at SAR2.68. Meanwhile, institutional investors picked up 80 percent of the offer.
“For the offering to be priced at the top of the range is a clear demonstration of the opportunity that we present to investors, and that was further proven by aggregate oversubscription of approximately 58x,” Americana Restaurants’ chairman Mohamed Alabbar said.
Alabbar added: “We are looking forward to the next step of our growth journey and working towards future value creation. We are equally proud to have taken the final step towards a historic first-ever concurrent dual listing on ADX and the Saudi Exchange – further enhancing the depth and maturity of the UAE and Saudi capital markets. We look forward to welcoming our new shareholders in December.”
Americana Restaurants announced its intention to float as a means to accelerate expansion. As of now, the Middle East’s biggest restaurant operator generated orders of $105 billion from institutional investors.
“The UAE retail offer and the KSA retail offer were oversubscribed by approximately 48.2 times and 2.8 times respectively, whereas the institutional offer was oversubscribed 65.5 times, resulting in an aggregate oversubscription level of 58 times. A total of 283,245 retail subscribers are participating in the offering in Saudi Arabia,” the company said in a statement.
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