HSBC said to be working on possible IPO of Saudi Arabian Logistics

SourceArab News
SectorFinancial Markets
CountrySaudi Arabia

RIYADH: Saudi Arabian Logistics Co. is working with HSBC Holdings Plc on a potential initial public offering that could happen this year, Bloomberg News reported, citing people familiar with the matter. SAL has not decided whether to go ahead with a share sale, which would only be available to local and qualified investors, the unnamed people said. SAL, 70% owned by the Kingdom's national airline Saudia, hired HSBC's local unit toward the end of last year to explore strategic options for raising funds, they said.

HSBC and SAL declined to comment to Bloomberg. The MENA region saw a 40% drop in listings and a 96% decline in IPO proceeds last year, with just $1. 86 billion raised, according to EY. However, Saudi Arabia's Tadawul was the region's top listing venue in 2020 with four sales totaling $1. 45 billion. The Kingdom has earmarked various state assets from utilities to aviation for privatization as part of its ambitious economic...read more...