Almajed Oud shares rise by 30 per cent on debut at stock exchange

Dubai: Almajed Oud Co.’s shares surged by 30 per cent to $32.53 (Dh119.48) in their first trading session today, October 7, on the Saudi Exchange (Tadawul).

In total, 152,000 shares changed hands, generating $4.9 million (Dh17.9 million) across nearly 3,000 transactions. Buy orders for the stock approached eight million shares.

The company began trading on Tadawul today under the ticker symbol 4165 and ISIN Code SA164HF212H1, with an initial price of $25.03 (Dh91.94) per share.

Almajed Oud issued 7.5 million shares, representing 30 per cent of its capital, at $25.03 (Dh19.94) each. Eighty per cent of the shares were allocated to participating parties, while the remaining 20 per cent went to retail investors, according to a report by Saudi financial news portal Argaam.com.

Retail demand reached 821.3 per cent, while the allocation for participating parties was oversubscribed by 156.5 times.

Each retail investor received at least six shares, with the remaining shares distributed pro rata based on each subscriber’s demand. The allotment ratio for the remaining shares was 0.76 per cent pro rata.