Clifford Chance and AS&H acted as issuer's counsel for Marafiq on its IPO
Clifford Chance and AS&H acted as issuer's counsel for Marafiq on its IPO
Clifford Chance in collaboration with Abuhimed Alsheikh Alhagbani Law Firm (AS&H) has acted as issuer's counsel to the Power and Water Utility Company for Jubail and Yanbu (Marafiq).
It is based on SAR 3.36 billion (approx. US$ 900 million) landmark IPO with an implied market capitalization at listing of SAR 11.50 billion (approx. US$ 3.1 billion). It marks as one of the largest IPOs in the MENA region in 2022. On November 24, 2022, the IPO was finalised with the listing of the shares of Marafiq on the Saudi Stock Exchange Tadawul.
The IPO incorporated an international institutional investor tranche under Regulation S of the U.S. Securities Act of 1933. On the whole, domestically and internationally, the IPO raised over 70 percent of the total IPO deal volume from institutional shareholders and the volume of the offer, left over from Saudi retail investors. The IPO order book was 59 times over-subscribed, with an entire request of SAR 197 billion (approx. US$ 53 billion).
Marafiq is a unified utilities services provider, existing in all the areas of electricity and water value chains. Marafiq, together with its various affiliates, is accountable for providing utilities services in strategic Royal Commission industrial cities in the Kingdom of Saudi Arabia. It includes the coast cities of Yanbu and Jubail, which represents a substantial portion of the Saudi industrial output.
A strong, international team of lawyers from Clifford Chance and AS&H provided legal assistance on this transaction.
The Clifford Chance team was co-led by Frankfurt-based partner Dr. George Hacket and Riyadh-based Corporate partner Omar Rashid (seconded to AS&H), supported by partner Simon Thomas (London), counsel Dr. Axel Wittmann, senior associate Andrei Manea (Frankfurt) and associates Maks Mencin and Gordana Golubić-Huertas (all Frankfurt).
The AS&H team was led by Mansoor Alhagbani (partner, Head of the Capital Markets & Financial Regulatory) with senior associate Rakan Kawar and associate Haifa AlDamegh (all Riyadh-based) supporting the transaction.
