Emirates NBD Capital Marks First Transaction On Saudi's Nomu Market With Burgerizzr Listing
Burger chain's stock price up 30% on first day of trading
Shares of Saudi Arabia's Shatirah House Restaurant Co. (Burgerizzr) began trading on Saudi Parallel Market Nomu on Wednesday, September 8.
Burgerizzr, one of the fastest growing burger chains in Saudi Arabia, listed under the trading symbol 9520 and ISIN Code SA15C2IKKO13. A total of 725,000 ordinary shares, representing 29 percent of the company’s total shares, were fully subscribed at the top end of the price range at SAR 165 per share.
Emirates NBD Capital, the investment banking arm of Emirates NBD, one of the leading banking groups in the MENAT (Middle East, North Africa and Turkey) region, acted as Sole Financial Advisor and Lead Manager for the burger chain’s initial public offering (IPO), which was oversubscribed by 500 percent on the first day of subscriptions and eventually ended at over 6,000 percent at the end of the book building process.
The deal witnessed exceptional interest from local, regional and international investors with a coverage of over 66 times of the total offered shares, while marking Emirates NBD Capital's first transaction on the Nomu Market.
Commenting on Burgerizzr's public debut on the Nomu exchange, Mohammad Al Bastaki, CEO, Emirates NBD Capital, said: “The Nomu listing is a focal point for small and medium-sized enterprises that want to improve brand awareness to raise capital and increase awareness among existing and new investors. With most orders at the high end of the price range (SAR 165) due to the company’s exceptional equity story and profile, we believe many companies may use Burgerizzr's successful listing as a benchmark and a first step to potentially list on the Tadawul main market. Emirates NBD is the first non-Saudi bank to have a significant branch network across the Kingdom. As Saudi rolls out its transformative Vision 2030 plan, we are delighted to continue supporting Saudi individuals and businesses looking for a trusted banking partner and increase capital and trade flow across the region.”
Khalid Al-Ruwaigh, CEO, Emirates NBD Capital KSA, added: “We are proud to mark Emirates NBD Capital's first transaction on the Nomu Market. The fact that a company like Burgerizzr has gone public successfully despite the Covid impact on the food and beverage sector is a positive sign for the region's markets, and we expect to see more companies opting for this approach either to raise capital to accelerate their expansion or to cash out a portion of their investment, not to mention the option of Direct-Listing in Nomu. Emirates NBD KSA offers full-fledged services across retail, private, business and wholesale banking, as well as corporate finance advisory, project and syndicated finance, and we are committed to delivering value and contributing to the long-term development of the Kingdom’s economy and vision 2030.”
Mohammed Al-Ruwaigh, founder and Chairman of the Board of Directors, Shatirah House Restaurant Co. (Burgerizzr) expressed his thanks to the Capital Market Authority and Tadawul company, for the facilities and support they provide to national companies for offering in the stock market, and he also expressed his appreciation and thanks to the investors who participated in covering the subscription of Burgerizzr, and for ENBD Capital for leading this listing.
Mr Al-Ruwaigh further commented: “By this offering for trading on NOMU – Parallel Market, Burgerizzr is heading into a new phase of expansion and transparency to achieve sustainability in its business and activities and lead in the sector.”
Nomu is a parallel equity market for small and medium-sized enterprises in Saudi Arabia, launched by the Saudi Stock Exchange Tadawul. It aims to increase the number of listed companies in the Kingdom, which is a crucial goal in its Vision 2030.
