Finance Seera auto rental unit to float 30% on Tadawul By Pramod Kumar August 25, 2023 Lumi Car rental company Lumi expects to issue 16.5 million shares on Tadawul Saudi Arabian travel company Seera Group Holding’s wholly-owned auto rental subsidiary plans to list 30 percent of its issued share capital on the Saudi Exchange (Tadawul). Car rental company Lumi expects to issue 16.5 million shares, with the listing taking place following regulatory approvals, the company said in its prospectus. Saudi Fransi Capital has been appointed financial advisor, lead manager, bookrunner and underwriter. Saudi leads ‘very healthy’ GCC IPO pipeline Saudi bourse owner’s profit dips 24% to $28m in Q2 2023 Middle East IPO drive likely to cool in second half of 2023 EFG Hermes has been named bookrunner. Riyad Bank, Banque Saudi Fransi and Saudi National Bank have been appointed receiving agents. The offer price range will be announced on August 30, while the final offer price will be declared on September 7. Mohammed Al Khalil, chairman of Lumi, said: “The IPO provides an opportunity for investors to participate in a sector that is benefitting from powerful macroeconomic and structural tailwinds and is positioned for significant growth. With our own growth accelerating, this is an exciting time to invite investors to share in our onward journey of success.” Lumi reported a profit of SAR100 million ($26.66 million) in the first half of 2023, rising 39 percent from SAR72 million in the same period last year. Revenue rose 48.6 percent year on year to SAR500 million in the first six months to June 30, 2023. The company’s fleet grew to 24,730 by the end of April from more than 19,600 at the end of September 2022, the prospectus said. Saudi Arabia’s car rental market is forecast to rise at a compound annual growth rate of 8.6 percent up to 2027 to reach SAR 9.8 billion, according to Glasgow Research & Consulting data.