KSA Business: Arabian Drilling Company sets final IPO offer price at $26.6 – Gulf Digital News

KSA Business: Arabian Drilling Company sets final IPO offer price at $26.6 – Gulf Digital News

Arab Drilling Company, the leading oil and gas drilling contractor in Saudi Arabia, has set the final offer price of its IPO at 100 riyals ($26.6) a share, implying a market capitalisation of SR8.9 billion ($2.4 billion) at listing.

The company along with Goldman Sachs Saudi Arabia, HSBC Saudi Arabia and SNB Capital Company, as joint financial advisors, has announced the successful completion of the participating parties’ book-building process in compliance with the guidelines of the Capital Market Authority (CMA).

The book-building process generated an order book of SR162 billion ($43 billion) and resulted in a subscription of coverage of around 61x of the total offered shares.

Pan GCC expansion

Ghassan Mirdad, Chief Executive Officer of Arabian Drilling, said: “Global investors have come to recognise the significant and integral role we play – and will continue to play – in the oil and gas value chain in the kingdom. We specialise in both onshore and offshore drilling with a fleet size of 45 rigs serving four key clients and operating principally in KSA. The demand for our services remains high, especially given the elevated commodity price environment and concerns around energy security as a result of the current macro-political and economic landscape.

“Looking ahead, we