Tadawul says negotiated deals for stc secondary offering to precede opening auction on Dec. 12

Logo of stc

The Saudi Exchange (Tadawul) said that the institutional tranche transactions related to stc secondary offering, on Sunday Dec. 12, will be in accordance with the negotiated deals framework issued by Tadawul.

Tadawul will facilitate a new session prior to the opening auction (pre-market) for only negotiated deals on stc on Sunday.

The negotiated deals session will allow members related to the stc secondary public offering to place negotiated deals only on stc (symbol: 7010).

Normal market hours for all other listed securities will remain the same, with the opening auction starting at 9:30 am.

Negotiated deals conducted prior to the opening auction (pre-market) for that day will be reflected on the negotiated deals page on Tadawul’s website.

According to data compiled by Argaam, The Public Investment Fund (PIF) and stc increased the size of stc’s secondary public offering by 20% or 19.8 million shares from 100.2 million shares.

Retail subscription to 10.02 million shares of stc started on Tuesday, Dec. 7, at 11.59 pm, and ran for one day until Dec. 8 at 11.59 pm.

The minimum subscription for retail investors is 10 shares based on the retail investors' subscription price per share, which was determined at SAR 116, the telecom operator said in the offering’s prospectus.

The company added that surplus amounts will be refunded in the following three cases: if the final offering price is below the upper limit of the offering’s price range; if the full shares subscribed were not allocated to investors; and, if the final offering price is higher than the closing market price on Dec. 9, 2021.  

In the final scenario, none of the offering shares will be allocated to the retail investor category and the funds will be returned without any commissions or deductions by the receiving entities.

Refunds will be deposited into retail investors’ accounts, as specified in the application, including any amount related to the fractional shares, if any.

The final offering price will be announced on Dec. 10.

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