Markets Saudi developer Umm Al Qura to float on Tadawul By Pramod Kumar February 3, 2025, 10:27 AM Masar/X Masar is one of the largest redevelopment projects in the region, stretching more than 3.5km along Mecca’s western border Umm Al Qura for Development and Construction (Umm Al Qura), the developer of Masar, a mixed-use project in Mecca, plans to float just over nine percent of its capital through an initial public offering (IPO) on the Saudi stock exchange. The net proceeds will be used to cover costs associated with land settlements, infrastructure, and project financing expenditures. Funds will also be allocated for general corporate expenditures, such as sales, marketing, administrative, operating and financing. In December 2024, the Capital Market Authority, the kingdom’s market regulator, approved the company’s application to register its 130.8 million shares in a public offering. It also received the Saudi exchange’s approval to list on the main market (Tasi) in the same month. The SAR100 billion ($26.7 billion) Masar project is one of the largest redevelopment projects in the region, stretching more than 3.5km along Mecca’s western border. It will consist of 205 investment plots, covering a total area of 64 hectares and a total gross floor area of 5.7 million sq m. The project will have 18,000 serviced apartments, 23,000 hotel keys, 9,000 residential units and a retail leasable area of 216,000 sq m. The developer’s share capital stands at more than SAR13 billion as of June 30 2024, in addition to bank facilities of more than SAR14 billion, of which around SAR10 billion has been used as of last June. Saudi poultry producer to list 30% stake on Tadawul Saudi Arabia opens up holy cities to foreign property investors Saudi Arabia’s NHC explores floating subsidiaries Shareholders include the Public Investment Fund, the General Organisation for Social Insurance, Dallah Al-Baraka Holding and other state-owned entities. Since the start of 2024, there have been 14 IPOs in Saudi Arabia that raised more than $100 million, according to data compiled by AGBI and London Stock Exchange Group. Eleven of these companies trade at above their IPO price as of market close on January 12 and nine are up more than 10 percent. These gains come despite the wider market’s stutters, with the main index near-flat over the past 12 months.