Modern Mills retail offering 22x covered; 2 shares minimum allocated per subscriber

Logo of Modern Mills Co. (MMC)

The retail offering of Modern Mills Co. (MMC) was successfully completed, said HSBC Saudi Arabia, sole financial advisor, global coordinator, joint book-runner, underwriter, and lead manager on the company's initial public offering (IPO).

A minimum of two shares were allocated to each subscriber, according to a filing to Tadawul today, March 11.

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Rump shares will be allocated on a pro-rata basis based on the demand size, with an average allocation factor of 1.0076%.

The offering was 21.9x covered and the number of subscribers reached 966,710, the statement said, adding that the offering proceeds reached nearly SAR 2.6 billion, as shown below:

Fractional shares were allocated in a descending manner at one share per application order.

According to data available with Argaam, the company floated 24.55 million shares, or 30% of capital. It allocated 90% to participating parties, while the remaining 10% was allotted to individuals.

The retail offering ran on March 5-6.