Saudi-based Nice One Beauty Digital Marketing Company has announced its decision to proceed with an initial public offering (IPO) and the listing of its ordinary shares on the main Saudi Exchange (Tadawul). It will be done through the sale of a combination of existing and newly issued shares. 

 

A leading beauty and care e-commerce platform in the kingdom, Nice One Beauty's product range includes cosmetics, body care items, lenses, perfumes, skincare and haircare products, as well as nutritional supplements. 

 

These offerings feature more than 1,200 leading international and local brands, along with Nice One’s own exclusive brands.

 

Unveiling the IPO plan, the Saudi beauty brand said the move comes following the go-ahead from Capital Market Authority in September this year for the IPO. A total of 34.6 million shares (around 25.24% of the company's stake) will be on offer.

 

This will be done through sale of 29.1 million ordinary shares of the existing stake by the company's existing shareholders on a pro-rata basis, and the issuance of new shares totalling 5.5 million shares (4.76% of the company’s capital)  through a capital hike. 

 

Upon completion of the Offering, the entire stake will total 30% of the issued share capital (after issuance of the New Shares and the Company’s capital increase). 

 

Nice One Beauty said the Offering’s net proceeds will be distributed to selling shareholders on a pro-rata based on their shareholding in the sale shares, with the remaining proceeds to be distributed to the company to be used to finance working capital, develop and market its own brands and sales channels, enhance logistic and technical capabilities, and achieve its general business objectives.

 

According to the Saudi firm, shares will be offered to individual subscribers and participating parties (as defined below).

•A maximum of 34,650,000 ordinary shares, representing 100% of the offer shares, will be allocated to the Participating Parties initially, with the final allocation determined after the end of the retail subscription period.

•In the event of sufficient demand from retail investors, they will be allocated a maximum of 3,465,000 Ordinary Shares representing 10% of the offer shares.

 

Nice One Beauty said the final Offering price will be determined at the end of the book-building process. 

 

The IPO shares will be listed and traded on the Saudi Exchange’s Main Market following the completion of the Offering and listing formalities with both the CMA and the Saudi Exchange, it added.-TradeArabia News Service