SGS IPO 18.4% subscribed by day one

Saudi Ground Services Company’s (SGS) initial public offering (IPO) has been 18.4 percent subscribed by the end of its first day, according to HSBC Saudi Arabia, the lead manager and underwriter of the offering.

About 150,860 investors bought to 4.2 million shares on Wednesday, raising an amount of SAR 207.7 million.

The company is floating 56.4 million shares, or 30 percent of its capital, in an initial public offering (IPO).

SGS has allocated 22.56 million shares for retail investors during the first phase of the IPO. Meanwhile, the remaining 60 percent of shares will be available to institutional investors and funds. 

The company provides ground handling services across the kingdom’s airports; including travel services, passenger services and tickets, as well as baggage check and handling.