Shaimaa Hefzy

Mutlaq Al-Ghuwairi Contracting Company, a Saudi firm, has decided not to proceed with its planned initial public offering (IPO) on the Saudi Stock Exchange, according to a statement issued by the offering manager, Al Rajhi Financial, to Tadawul on Tuesday, without giving reasons.

The company was aiming to raise between 2.6 and 3 billion riyals ($693.3 - $800 million) from its initial public offering of 30% of its shares on the main market, with a declared price range of 11 to 12.5 riyals per share and a book-building period set between May 31 and June 4, 2026.

According to a statement released on Tuesday, "Despite the offering being oversubscribed several times by participating entities, and after careful consideration of the company's objectives, strategy, and selling shareholders, the financial advisors announce that the company has decided – in consultation with its advisors – not to proceed with the initial public offering."

The company did not specify the size of the subscription or another date for completing the offering process, but said that it "believes in its expansion and strategic plans and intends to continue with them, and will study different expansion options and re-examine the public offering option in the future."

Mutlaq Al-Ghuwairi was founded in 1977 and specializes in infrastructure projects in the water, transportation and urban development sectors, in addition to operation and maintenance services. It has targets for selective expansion in gas and energy projects, according to official data.

(Prepared by: Shaimaa Hefzy, for contact: zawya.arabic@lseg.com )

#Economic News

To subscribe to our weekly report covering economic news developments, register here.