Retail Tranche Subscription Press Release

21 December 2023G

MBC GROUP Announces the Completion of Offering Period for Individual Investors and Final Allotment of Shares

MBC GROUP (“MBC” or the “Company”), one of the leading media and entertainment companies in the Middle East and North Africa (“MENA”) region, announces today the successful completion of the Retail Investor offering period and the Final Allotment of Shares in relation to its Initial Public Offering (the “IPO” or the “Offering”).

Following the successful completion of the institutional book-building period which set the Final Offer Price at SAR 25 per share and resulted in subscription coverage of approximately 66x the total offered shares, the retail investor offering took place from 14 December to 18 December 2023G. The number of shares that were allocated to the retail investor tranche was 3,325,500 shares, representing 10% of the total offering. The offering saw 359,464 retail investors place orders totalling SAR 1,465 million, reflecting a subscription coverage of 17.6 times the offered shares in this tranche.

The Company allocated a minimum of 9 shares to each retail subscriber. The remaining shares will be allocated on a pro-rata basis based on demand size to the remaining demand with an average allocation factor of 0.1623%.

Offering Details

  • The Final Offer Price for the Offering has been set at SAR 25 per share, implying a market capitalization at listing of SAR 8.3 billion (USD 2.2 billion1).
  • The total size of the Offering is SAR 831 million (USD 222 million1).
  • The Offering comprises a primary offering of 33,250,000 new ordinary shares, representing 10% of the Company’s share capital (following the issuance of the Offer Shares and increase of the Company’s share capital).
  • Immediately following the listing on the Main Market of the Saudi Exchange (Tadawul), the Company is expected to have a free float of 10% (33,250,000) of its total shares (332,500,000).

FX Rate: USD 1 = SAR 3.75