Skip to content Skip to Search
Skip navigation

Avalon Pharma’s market value at $437m on listing

By Pramod Kumar
Ades Holding is expected to raise about $1.22bn from selling more than 338.72 million existing and new shares Reuters/Ahmed Yosri
Avalon Pharma's IPO subscription period will last three days, starting January 30 and ending February 1

Saudi Arabia’s Middle East Pharmaceutical Industries Company (Avalon Pharma) has priced its initial public offering (IPO) at the top of its range at SAR82 ($21.87), implying a market capitalisation of SAR1.64 billion ($437.33 million) on listing.

The recorded orders during the institutional book-building stood at SAR68.27 billion, representing a coverage of 138.76 times.

The retail IPO subscription period will last three days, starting January 30 and ending February 1.

The home-grown pharmaceutical maker will offer six million shares, or 30 percent of its issued share capital, on the Saudi Exchange’s main market.

Riyadh-headquartered Avalon Pharma’s main activities include the development, manufacturing and marketing of consumer health and beauty brands as well as generic prescription medicines.

The company has over 5,000 sq m manufacturing capacity and a warehouse network across Saudi Arabia. It has three manufacturing and research and development facilities and four warehouses within the kingdom.

Avalon Pharma recently completed a major expansion by doubling its manufacturing capacity, which is expected to start production by the second quarter of 2024, the company said in its IPO prospectus.

The total medicine and medical supplements sector in Saudi Arabia are anticipated to increase at an annual rate of five percent to reach SAR44 billion by 2027, according to the prospectus.

Latest articles

chicken exports

Gulf’s taste for chicken boosts Brazilian exports

Saudi Arabia and the UAE has helped Brazil record the second-highest volume of chicken meat exports in a single month. Shipments of chicken from Brazil in September increased 17.6 percent to the United Arab Emirates and 5.9 percent to Saudi Arabia. Brazil, the world’s largest supplier of chicken meat, exported 485,000 tonnes in total last […]

Saudi-backed US luxury electric vehicle maker Lucid exceeded market expectations in Q3, delivering 24 percent more cars than forecast

Lucid beats latest delivery expectations

Saudi-backed US luxury electric vehicle maker Lucid has exceeded market expectations for its third quarter, delivering 24 percent more cars than had been forecast.  Analysts cited discounts and more favourable finance options as reasons for the sharp increase.  Lucid delivered 2,781 vehicles in Q3, ahead of estimates of 2,242, according to analysts polled by Visible […]

BP Iraq Kuwait

BP seeking new investments in Iraq and Kuwait

BP is in talks for new investments in Iraq and Kuwait as the company refocuses on oil and gas. The British energy giant is in discussions to invest in three new projects in Iraq, including one in the Majnoon field near Basra, sources have told Reuters. In August BP signed an agreement with the Iraqi […]

Accessories, Formal Wear, Tie

Turkey SMEs bolstered by $2.3bn global funding

The Turkish government has secured $2.3 billion from international institutions to bolster small and medium-sized enterprises and exporters this year, treasury and finance minister Mehmet Şimşek has said. The funding has been secured from various international institutions through Türk Eximbank and development banks to improve financing access for the sector in the midst of ongoing […]