Reuters/Faisal Al Nasser
Shares of Umm Al Qura for Development and Construction (Umm Al Qura), the developer of Masar, a massive mixed-use project in the holy city of Mecca, will start trading on the Saudi stock exchange next week.
The stock will be subject to a daily and static price fluctuation limit of plus or minus 30 percent and plus or minus 10 percent, respectively, the Saudi Exchange said in a statement.
Umm Al Qura becomes the latest in a series of companies to list shares on the Saudi exchange this year, including poultry operator Entaj and online brokerage Deriyah.
Marketing Home Group, a home design retailer, has also received regulatory approval to offer shares.
Last month the institutional offering of Umm Al Qura was oversubscribed 241 times, according to a statement.
The company, which is backed by the state-run General Organization for Social Insurance (Gosi) and Public Investment Fund (PIF), raised $523 million from the share sale.
The retail tranche was oversubscribed 20 times, with the order book reaching SAR4 billion.
The final initial public offering (IPO) price was set at SAR15 per share.
The Masar project put at SAR100 billion ($27 billion) and which 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.
