LONDON: MBC Group has announced further details of its offering on Thursday, stating that it will float 33.25 million shares on the Tadawul, Saudi Arabia’s official stock exchange.
The media conglomerate’s prospectus states that the current capital stands at $797.7 million, and that there are currently 299.25 million shares.
The company plans to issue 33.25 million new shares for the offering, which is 10 percent of MBC’s total capital after the offering.
The IPO was approved by the Capital Market Authority (CMA) earlier this week. The date for the IPO hasn’t been specified yet, but the approval is valid for six months.
“We are not entirely sure on the timing of it,” said Sam Barnett, CEO of MBC Group.
He added that the share price would evolve over the book-building process.
Currently, Al Istedamah Holding (IHC) owns a 60 percent stake and chairman Waleed Al-Ibrahim owns the remaining 40 percent of the company. The IPO would mean that IHC and Al-Ibrahim would together own 90 percent of the company.
“The two respective shareholders will be diluted in proportion to their shareholdings,” Barnett said.
He added that neither are selling any shares, and the money from the IPO would go into the company.
“Through the IPO, we aim to further grow our market position and audience reach, continue investing in our popular streaming platform, Shahid, and expand into promising entertainment verticals,” said Al-Ibrahim.
The move is in line with the company’s vision “to continue evolving as a global media and entertainment powerhouse” and “deepening our commitment to realizing Vision 2030 by supporting the growth and development of the media and entertainment sector,” he added.
The period for registering applications for participating categories and the process of building the order book begins on Nov. 30 and continues for 7 days, ending on Dec. 6.
The offering period begins on Dec. 14 and ends on Dec. 18.
