Dates for institutions and individuals to subscribe to the “Al-Nayifat” offering

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Next Thursday, October 21, 2021, the registration of applications for the participating classes and the process of building the order book for offering a company will begin Nayifat Finance “Nayifat”For a period of 6 days ending on October 28, 2021.

According to the prospectus, the subscription period for individual subscribers begins on Sunday, November 7, 2021, for a period of two days until the end of Monday, November 8, 2021.

The final offer price will be determined for all subscribers after the end of the book building period.

The last date for submitting the subscription application forms for the participating categories based on the number of shares that were initially allocated to each of them is Friday, November 5, 2021, and the last date for paying the subscription value for the participating categories based on the number of shares that were initially allotted to each of them is on Sunday, November 7, 2021.

According to the prospectus, the last date for submitting the subscription application forms and paying the subscription value for individual subscribers is Monday, November 8, 2021.

The final allotment of the offering shares will be announced no later than Saturday, November 13, 2021, while the excess subscription amounts will be returned no later than Monday, November 15, 2021.

The minimum subscription for the participating classes is 100,000 shares, while the minimum subscription for individual subscribers is 10 shares.

While the maximum subscription for the participating classes is 4.999 million shares, the maximum subscription for individual subscribers is 300,000 shares.

The offering shares will be finally allocated to the participating classes by the subscription manager according to what the financial advisor deems appropriate in coordination with the company and the selling shareholders using the voluntary allocation mechanism after the completion of the individual subscription process. The number of offering shares that will be initially allocated to the participating classes is 35 million shares representing 100% of the total number of shares offered.

In the event that there is sufficient demand from individual subscribers, the subscription manager has the right to reduce the number of the offering shares allocated to the participating classes to 31.5 million shares, representing 90% of the total offering shares after completing the individual subscription process.

It is expected that the allocation of the offering shares to individual subscribers will be completed within a period not exceeding November 13, 2021, bearing in mind that the minimum allocation for each individual subscriber is 10 shares and the maximum for each individual subscriber is 300,000 shares, and the remainder of the offering shares, if any, will be allocated to Proportional basis based on the ratio of what each subscriber requested to the total shares to be subscribed for. In the event that the number of individual subscribers exceeds 350 individual subscribers, the company does not guarantee the minimum allocation and the allocation will be as determined by the financial advisor in consultation with the company and the selling shareholders.

The subscription surplus, if any, will be returned to individual subscribers without deducting any commissions or deductions from the receiving entities as specified in the individual subscription application form. The final allocation process will be announced on Saturday, November 13, 2021, and the surplus, if any, will be refunded no later than Monday, 15 November 2021.

“Al-Nayifat” appointed HSBC Saudi Arabia as the financial advisor and manager of the institutional subscription lead book and the main underwriter in relation to the offering shares, and appointed Saudi Fransi Capital and GIB Capital as managers of the institutional subscription register and the co-underwriters.

Together, the three companies are referred to as the “bookrunners for the subscription”, and the Saudi British Bank “SABB”, the Saudi National Bank, Riyad Bank and Al Rajhi Bank are designated as the recipients.

It is noteworthy that Nayifat Finance Company’s portfolio includes more than 44,000 clients as of the first quarter of 2021, and Nayifat is the first non-bank financial institution to obtain a license from the Saudi Central Bank to issue credit cards.

Nayifat Finance Company was established in 2002 with a capital of 10 million riyals, and its current capital is one billion riyals, and its market share in the retail financing market is 18% as in the first quarter of 2021.2

The company obtained the approval of the Saudi Tadawul to request the listing of its shares on the main market on April 5, 2021, and obtained the approval of the Capital Market Authority on its request to offer 35 million ordinary shares, representing 35% of the company’s shares, for public subscription on September 29, 2021.

Nayifat Finance Prospectus Click here





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