Derayah Financial Company has priced its initial public offering (IPO) at 30 riyals ($8) per share, the upper end of its indicated range, following strong demand from institutional investors.
The Saudi-based independent digital investment platform attracted 243 billion riyals ($64.79 billion) in total orders during the institutional book-building process, resulting in an oversubscription of about 162 times.
The IPO values the company at 7.5 billion riyals ($2 billion) upon listing, with the offering size reaching 1.5 billion riyals ($400 million).
The share sale comprises 49,947,039 ordinary shares, representing 20% of the company’s issued share capital. The subscription period for retail investors will run from Feb. 20 to Feb. 22.
The listing on the Saudi Exchange’s Main Market is expected to take place following final regulatory approvals.
Derayah’s IPO comes at a time when Saudi Arabia’s capital markets are seeing increased activity, with companies seeking to raise funds through public offerings as part of the kingdom’s broader economic diversification strategy under Vision 2030.
The surge in demand highlights strong investor confidence in the country’s financial sector and its growing digital investment landscape.
Institutional investors from Saudi Arabia, the Gulf Cooperation Council (GCC), and other international markets showed significant interest in the offering, underscoring the appeal of Derayah’s business model and its position as a leading independent digital investment platform.
The company provides investment management and brokerage services, catering to retail and institutional clients seeking digital-first financial solutions.
The IPO is expected to enhance Derayah’s market position and provide capital to support its expansion plans, including investments in technology, product offerings, and potential acquisitions.
The listing is also anticipated to strengthen the Saudi Exchange by adding another prominent player in the financial sector.
HSBC Saudi Arabia is serving as the sole financial advisor, bookrunner, global coordinator, lead manager, and underwriter for the offering.
Market analysts will be closely watching the performance of Derayah’s shares post-listing, as it could set the tone for future digital investment-related IPOs in the region.
