CMA approves the offering of 15.4 million shares of Arabian Mills for Food Products in the Main Market

The Capital Market Authority announced that the CMA Board has issued its resolution approving Arabian Mills for Food Products Company's application to register its shares and offer 15.39 million of its shares for public offering on the Main Market.

The approved shares represent 30% of the company's total 51.3 million shares.

According to a statement by the CMA, the prospectus will be published well in advance of the start of the offering.

The CMA's approval of the application is valid for a period of 6 months from the date of the Board's decision, and the approval shall be canceled if the offering and listing of the Company's shares is not completed during this period. According to Argaam data, the Arabian Mills Company– formerly the Second Mills – was established in October 2016 as part of the privatization program of the Grains Organization.

In April 2021, the National Center for Privatization (NCP) awarded the sale of Arabian Mills Company for Food Products to the offer submitted by the consortium of Abdulaziz Al-Ajlan Sons for Trading and Real Estate Investment, Al Rajhi International for Investment, Nadec, and Olam International, amounting to SAR 2138 million.

In December 2021, Nadec completed the transfer of all the assets of the Second Mills Company to the Food Security Holding Company, and the two companies were merged under the name of the Second Mills Company. Abdulaziz Al-Ajlan Sons or Trading and Real Estate Investment purchased the entire share of Olam International Group, and NADEC increased its ownership percentage. The ownership percentage of the partners after completing the purchase process became as follows:

- Abdulaziz Al-Ajlan Sons or Trading and Real Estate Investment: 50.13%.

- Al Rajhi International Investment Company: 35%.

- Nadec: 14.87%.