White & Case Advises SNB Capital on Successful Entaj IPO on Saudi Exchange.

The recent listing of Arabian Company for Agriculture and Industrial Investment (Entaj), one of Saudi Arabia’s leading poultry brands, on the Saudi Exchange (Tadawul) marks a significant milestone for the country’s stock market.

SNB Capital served as the sole financial advisor, underwriter, and lead manager for this initial public offering (IPO). This successful IPO reflects not only Entaj’s prominence in the Saudi poultry industry but also the growing strength and diversification of Saudi Arabia’s capital markets.

The IPO was a resounding success, with institutional and retail tranches seeing record oversubscription. The institutional tranche was oversubscribed by an astonishing 208.4 times, attracting SAR 93 billion (approximately US$24.8 billion) in orders.

The retail tranche also saw incredible demand, being oversubscribed by 30.2 times, with SAR 1.4 billion (approximately US$373.3 million) in orders. The total value of the offering reached SAR 450 million (around US$120 million). These figures highlight the market's confidence in Entaj, signaling a strong appetite for shares in Saudi Arabia’s agricultural and industrial sectors.

Entaj’s successful IPO is another significant step in Saudi Arabia’s efforts to modernize and diversify its economy under the Vision 2030 initiative. This IPO demonstrates the increasing sophistication of the Saudi capital markets and reinforces the country’s commitment to encouraging private sector growth and attracting global investors. As more companies from diverse sectors, including agriculture and industry, turn to Tadawul, Saudi Arabia is steadily positioning itself as a major financial hub in the region.

The overwhelming interest in Entaj’s IPO showcases the growing confidence in Saudi Arabia’s domestic companies and their long-term potential. The success of this offering is also indicative of the broader trend in the Middle East, where institutional and retail investors are increasingly looking to capitalize on the opportunities presented by local companies.

As Saudi Arabia continues to focus on economic diversification, IPOs like Entaj’s are paving the way for future listings and providing valuable investment opportunities for both local and international investors.

White & Case LLP played a key role in advising SNB Capital on the legal aspects of this high-profile IPO. Led by partner Sami Al-Louzi, the White & Case team included associates Hamzeh Al Rasheed, Cassy Raby, Andrew Scott, and Husam Azhar.

Entaj, founded in 2004, is a leading poultry producer in Saudi Arabia, known for its premium halal products. Initially part of ARASCO Foods, it has grown to produce 90 million birds annually, with plans for further expansion. The company focuses on quality, using advanced farming techniques and machinery, and is committed to sustainability and food security. Entaj aims to become Saudi Arabia's top poultry brand by 2026.

SNB Capital is a leading regional financial institution licensed by the Capital Market Authority (CMA). It excels in five key business areas: Asset Management, Wealth Management, Securities, Investment Banking, and Principal Investments. As of December 2024, SNB Capital ranks as the top broker by market share on the Saudi Exchange and is the largest asset manager in Saudi Arabia, with SAR 239 billion (USD 63.73 billion) in assets under management as of March 2024. The firm offers a wide range of innovative, Shariah-compliant financial products and services, contributing significantly to Saudi Arabia's economic growth.

White & Case LLP is a global law firm known for providing high-quality legal services to clients across a broad range of industries. Founded in 1901, the firm has grown to become one of the largest international law firms, with offices in over 40 locations worldwide. White & Case specializes in complex legal matters, including banking and finance, mergers and acquisitions, capital markets, dispute resolution, and regulatory compliance. The firm represents multinational corporations, governments, and financial institutions, offering expertise in cross-border transactions, international litigation, and arbitration. White & Case is renowned for its deep industry knowledge, innovative solutions, and commitment to delivering results for its clients.

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