SAUDI ARABIA — After successfully completing its Initial Public Offering (IPO), First Milling Company (First Mills), one of the prominent milling companies in Saudi Arabia, has finally listed its shares on the Main Market of the Saudi Exchange (Tadawul).
Trading under the ticker symbol 2283, the company’s shares were priced at SAR 60 per share ($16 per share), at the top of the company’s price range, implying a market capitalization at a listing of SAR 3.330 billion ($888 million).
The company is one of the market leaders in the flour and compound feed market, with a wheat milling capacity of 4,200 tons daily and a feed mixing capacity of 900 tons per day. It operates four large-capacity production facilities in the Kingdom.
As part of the IPO, the company offered 16,650,000 shares, which equated to 30 percent of its total issued share capital.
The shares were ultimately allocated, with 90 percent going to Participating Parties who had taken part in the book-building process and the remaining 10 percent going to Individual Investors, including Saudi Arabian nationals, foreign residents in Saudi, and GCC nationals
Commenting on this, the Chief Executive Officer of First Milling Company, Eng. Abdullah Ababtain, stated that the listing of First Mills on the Saudi Exchange reflects the company’s dedication to promoting food availability and sustainability in Saudi Arabia.
He further mentioned that as a renowned market leader, they are proud of their ability to produce top-quality flour products and wheat byproducts.
He added that, investors, whether institutions or individuals have the opportunity to be part of our mission to be the first partner of choice in the food and feed sectors, serving communities and markets across the Kingdom.
“We look forward to leveraging our clear and focused strategy to build scale and capacities, optimize operational and financial efficiencies, explore new product categories, enhance distribution channels, and drive sustainable growth in revenue and profit.”
In May, First Mills announced its intention to proceed with an initial public offering (IPO) of 16.65 million shares representing 30% of its share capital on the Saudi Exchange.
About 90% of the floated shares were allocated to “Participating Parties” that took part during First Mills’ book-building process, while the remaining 10% were allotted to individual investors.