The Saudi Exchange (Tadawul) is set for a significant influx of activity, with three companies announcing plans for initial public offerings that could collectively raise over $300 million. The latest to join the public market push is Consolidated Gruenenfelder Saady (CGS) Holding, following announcements from car rental firm Cherry Trading and education provider Al Masar Al Shamil Education Company.
CGS Holding Sets Sights on $80 Million
CGS Holding, a manufacturer specializing in refrigerated units and vehicles, has set a price range of SAR 9.5 to SAR 10 per share for its offering. The company is floating 30 million shares, which represents 30 percent of its total share capital.
At the top end of this pricing, the IPO could raise approximately $80 million. The institutional book-building period for CGS began on Thursday and is scheduled to run until Tuesday.
Cherry Trading Sees Massive Investor Demand
Highlighting strong investor appetite, Cherry Trading’s book-building, which concluded on Sunday, was more than 85 times oversubscribed, according to financial advisors BSF Capital and EFG Hermes KSA.
Shares for the car rental company have been priced at the top of their range at SAR 28 each, positioning Cherry Trading to raise $67 million from its public offering. The subscription period for individual investors is slated for November 12 to November 13.
Al Masar Education Aims for Largest Raise
Al Masar Al Shamil Education Company, which operates a network of schools, universities, and daycare clinics across Saudi Arabia and the UAE, announced a price range of SAR 18.5 to SAR 19.5 per share.
This positions Al Masar for the largest raise of the trio, potentially securing $160 million if investors subscribe at the top of the range. The company is expected to announce the final share price on November 11, with the retail subscription period running from November 18 to November 20.
A Strong Year for Saudi IPOs
These listings add to an already robust year for the Saudi main market, which has seen IPOs raise a combined $3.3 billion so far. This continues the momentum from last year, which recorded $4.1 billion in offerings—the highest annual total excluding the landmark Saudi Aramco IPO in 2019. While the three companies have announced their offering details, none have yet confirmed a final listing date on the Tadawul.
About CGS Holding
Consolidated Gruenenfelder Saady (CGS) Holding is one of the leading manufacturers of commercial vehicle superstructures in the Kingdom of Saudi Arabia. The company specializes in producing refrigerated and insulated truck bodies, as well as other specialized vehicle units for the logistics and transportation sectors.
Source: AGBI
