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SNB Capital and Ehsan Launch SAR10bn IPO of New Charity Fund
SNB Capital, the largest asset manager and investment bank in Saudi Arabia, in collaboration with Ehsan, the National Platform for Charitable Work, announced today the Initial Public Offering (IPO) of the Ehsan Waqf Fund at a signing ceremony attended by SNB Capital Head of Asset Management Khalid Al-Burikan and Ehsan CEO Ibrahim Alhusaini.
The first of its kind in the Kingdom, the Ehsan Waqf Fund aims to raise SAR 10 billion (USD 2.6 billion) through the offering of shares at a nominal value of SAR 1 (USD 0.26) apiece, with a minimum subscription of SAR 100 (USD 26). The fund seeks to enhance participation in non-profit developmental investment by providing investors with a structured vehicle that enables them to support charitable initiatives while generating sustainable returns.
Commenting on the investment, SNB Capital Head of Asset Management Khalid Al-Burikan said, “We are proud to collaborate with Ehsan in launching the Ehsan Waqf Fund, offering investors a unique opportunity to support meaningful charitable initiatives while achieving long-term financial growth. This fund supports Vision 2030’s goal of fostering a sustainable financial sector by creating innovative investment solutions that contribute to the broader social and economic development of the Kingdom.”
Ehsan CEO Ibrahim Alhusaini said, “The Ehsan Waqf Fund is an important step in advancing our mission of enhancing community involvement in charitable and developmental activities. By collaborating with SNB Capital, we are able to offer a sustainable investment vehicle that not only supports the financial future of the beneficiary entities, but also maximizes the impact of charitable donations.
The fund's investment strategy is to achieve long-term capital growth through investments in small and mid-cap Saudi companies and Shariah-compliant asset classes that support the liquidity needs of fund beneficiaries, with a target distribution rate of no less than 3% of the fund’s yield.
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SNB Capital Successfully Completes Advisory for Almasar Alshamil Education Company’s SAR 599mn IPO Debut
SNB Capital has successfully completed its advisory services for the Initial Public Offering (IPO) of Almasar Alshamil Education Company, acting as the Lead Manager, Financial Advisor, Underwriter, and Bookrunner for the transaction.
The IPO comprised 30.7 milllion ordinary shares, representing 30% of the company’s share capital with a final offer price of SAR 19.5 per share, resulting in a total offering value of SAR 599 million.
Following the completion of institutional book-building, 9.2 million shares, representing 30% of the offering, were made available to retail investors. A total of 95,679 individual subscribers participated in the retail tranche, generating orders worth SAR 218.2 million and achieving a coverage ratio of approximately 1.21 times.
Almasar Alshamil Education Company’s shares were listed today on the Saudi Exchange's Main Market (TASI) under the ticker symbol (6019) and international code (SA56DG9IU1H8).
The offering contributes to the continued development of the Kingdom’s education sector, supporting Vision 2030 objectives to enhance quality, accessibility, and private-sector participation.
SNB Capital Announces Successful Closure of the Basic Foods Fund with a SAR 200 million Investment in Warda Al Mashreq Foods
SNB Capital has announced the successful closure of the private investment fund, SNB Capital Basic Foods Fund. The Shariah-compliant fund is designed to invest in Warda Al Mashreq Foods, one of the Kingdom’s leading food manufacturing companies, to support its readiness for an initial public offering (IPO) on the Saudi Stock.
The company produces a wide range of processed cheese and essential food products and has seen rapid growth in demand. It boasts an outstanding operational track record spanning over 30 years.
Warda Al Mashreq currently operates three factories in Riyadh, the capital of Saudi Arabia, and is in the process of establishing a fourth facility. This expansion positions the company competitively to enhance operational efficiency and increase production capacity, with a focus on export opportunities and regional growth in one of the most dynamic sectors.
Market estimates suggest that the company’s target food sector in the Middle East and Africa will grow from SAR 58.1 billion in 2023 to SAR 67.1 billion by 2028, driven by population growth and changing consumer behavior across the region.
The Basic Foods Fund reflects SNB Capital’s commitment to delivering carefully designed investment solutions that add value to client portfolios. The fund was structured to acquire a stake in a company with a clear expansion strategy and IPO readiness, leveraging SNB Capital’s expertise to transform it from a leading food manufacturer into a nationally listed entity.
