Almoosa Health to Raise $450 Million in IPO
Deal News | Dec 04, 2024 | Zawya
Saudi Arabia's healthcare provider, Almoosa Health, is set to launch an Initial Public Offering (IPO), aiming to raise between SAR 1.63 billion and SAR 1.68 billion ($450.66 million). This positions it as the country's second-largest IPO this year, trailing only behind Fakeeh Care Group. The IPO will involve offering 13.3 million shares, constituting a 30% stake in the company. Cornerstone investors, the Company for Cooperative Insurance (Tawuniya) and Alfozan Holding Company, have committed to purchasing over 2.9 million shares, together making up 22% of the share sale. Tawuniya and Alfozan have committed to 1.8 million and 1.10 million shares, respectively. The institutional book-building process begins today, concluding on December 10, followed by a public offering for individual investors on December 23-24. Saudi Fransi Capital, along with EFG Hermes KSA, will manage and underwrite the IPO. Moelis & Company Saudi Limited has advised the selling shareholders. Almoosa Health, founded in 1996, operates a substantial network of healthcare facilities across Saudi Arabia's Eastern Province with a total capacity of 750 beds.
Sectors
- Healthcare
- Financial Services
- Insurance
Geography
- Saudi Arabia – The IPO and the companies involved are based in Saudi Arabia, and it is being recognized as one of the largest IPOs in the kingdom this year.
Industry
- Healthcare – Almoosa Health is an integrated healthcare provider operating a network of healthcare facilities in Saudi Arabia's Eastern Province.
- Financial Services – Includes companies like Saudi Fransi Capital and EFG Hermes KSA who are managing and underwriting the IPO.
- Insurance – The Company for Cooperative Insurance (Tawuniya) is participating as a cornerstone investor in the IPO.
Financials
- SAR 1.63 billion - SAR 1.68 billion ($450.66 million) – The size of the IPO offering.
- SAR 5.63 billion – Projected market capitalization at the top price range of the IPO.
- 13.3 million shares – Number of shares offered in the IPO, representing a 30% stake.
- 1.8 million shares – Shares to be subscribed by Tawuniya.
- 1.10 million shares – Shares to be subscribed by Alfozan Holding Company.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Almoosa Health | Target | Company | A Saudi healthcare provider planning to raise up to $450.66 million in an IPO. |
| Tawuniya | Cornerstone Investor | Company | The Company for Cooperative Insurance, committed to buying shares in Almoosa's IPO. |
| Alfozan Holding Company | Cornerstone Investor | Company | Committed to purchasing shares in Almoosa’s IPO. |
| Saudi Fransi Capital | Financial Advisor/ Joint Bookrunner/ Underwriter | Company | Appointed to manage and underwrite the IPO. |
| EFG Hermes KSA | Joint Bookrunner/ Underwriter | Company | Partnering in the management and underwriting of the IPO. |
| Moelis & Company Saudi Limited | Financial Advisor | Company | Acted as financial advisor to the shareholders. |