Abdulmohsen Al-Hokair gets approval for 30% IPO starting May 28

The Capital Market Authority (CMA) approved for Abdulmohsen AlHokair Group to sell 16.5m shares representing 30% of its capital in an IPO during the period from May 28 to June 3, 2014.

A part of the IPO will be offered to mutual funds and authorized persons.

IPO prospectus is to be issued within a reasonable time before the event and will contain all necessary information needed by the investor to make the decision of whether to invest in those shares, share price and company’s financial statements in addition to adequate data about the company’s activities and management; the CMA said.

The CMA also indicated that the investment decision without reviewing the prospectus could be underlying high risks as the information provided by the prospectus is vital to the investment decision. The agency’s approval of this IPO doesn’t insure its feasibility as this approval merely means the company’s adherence to the capital market rules and regulations.