Everything you need to know about subscribing to the ACWA Power offer for individuals

The subscription phase for individual subscribers to the possible IPO of the international water and energy company “ACWA Power” began today, Wednesday, September 29, 2021, until Friday, early October 2021.

The company allocated 8,119,929 ordinary shares representing 10% of the total shares offered for public subscription to individual subscribers at most.

The company set the final offering price at 56 Rials per share.

Individual investors can submit subscription requests for the shares offered at the branches of the receiving entities, namely Riyadh Banks, Al Ahli Saudi Banks, Al Rajhi Bank, in addition to Al Jazeera Bank.

According to the prospectus, individual subscription request forms will be available during the offer period for individual subscribers from the subscription manager and the receiving entities, and individual subscription request forms will need to be completed.

The minimum number of shares offered to individual subscribers is 10 and the minimum subscription amount is 560 Saudi riyals.

The maximum number of shares offered to individual subscribers is 250,000 shares and the maximum subscription amount is 14 million Saudi riyals.

It is expected that the allocation of the Offered Shares to individual subscribers will be finalized no later than October 4, 2021.

The remaining offer shares, if any, are allotted as suggested by the company and the financial boards. In the event that the number of individual subscribers exceeds 811,992 subscribers, the company does not guarantee the minimum allocation of 10 offering shares for each individual subscriber. The allocation of shares offered to individual subscribers will be determined on the basis of company proposals and financial advice.

Any excess subscription, if any, will be reimbursed by October 5, 2021. No period of prohibition or restriction on the sale of the subscriber’s shares will be implemented after listing.

Total proceeds from the offering are estimated to be 4.547 billion riyals, of which approximately 160 million riyals will be allocated to pay all costs and expenses related to the offering, bringing the net proceeds to approximately 4.387 billion riyals, which the company will retain and intend to use 70% of the proceeds to fund its capital contribution for future projects and will use the remaining 30% The remaining percentage is for general institutional purposes.

The total offering is 81.199 million shares, representing 11.1% of the company’s capital after the capital increase, which represents 12.6% of the capital before the increase.