MBC Group, one of the leading media and entertainment companies in the Middle East and North Africa (MENA) region, has intend to proceed with an initial public offering (IPO) and the listing of its ordinary shares on the Main Market of the Saudi Exchange (Tadawul).
The Capital Market Authority (CMA) approved the Company’s application for registering its share capital and the Offering of 33,250,000 Ordinary Shares through a capital increase, representing 10 percent of the Company’s share capital, and the offering price will be determined at the end of the book-building period.
The Offer Shares will be offered for subscription to individual and institutional investors, including institutional investors outside the United States in accordance with Regulation S under the US Securities Act of 1933G.
The offering’s net proceeds will be utilized for repayment of outstanding indebtedness, enhancing liquidity headroom to finance the working capital requirements of the business, Shahid content expenditure and investment in new initiatives.
“MBC Group is proud to be one of the MENA region’s leading media and entertainment companies. With over 30 years of continuous growth owed to our significant investment in media, quality content generation and entertainment, we are prepared for our next phase of growth. Through the IPO, we aim to further grow our market position and audience reach, continue investing in our popular streaming platform, Shahid, and expand into promising entertainment verticals. While our heart remains entrenched in Arab culture, this is in line with our ambitions to continue evolving as a global media and entertainment powerhouse, while further deepening our commitment to realizing Vision 2030 by supporting the growth and development of the media and entertainment sector.”
Mr. Ibrahim Al Ibrahim added that “Through this offering, we are inviting investors to be part of a robust enterprise, a well-reputed brand, underpinned by strong macro fundamentals and dynamic growth prospects. Our Board of Directors and the leadership team look forward to the opportunities ahead of us. With our sights set firmly on the future, our commitment remains to exceed shareholders’ expectations by delivering attractive returns.”
Mr. Sam Barnett, Chief Executive Officer, MBC Group said that, “This IPO is a testament to our ambition to create a leading media group that enriches lives through content, interaction and entertainment. Over the decades, we have built a diverse platform portfolio that has accumulated a high audience share and generated an expansive reach. MBC is trusted by loyal audiences across the MENA region and we have earned this trust through a deep knowledge of our audiences and commitment to premium content creation.”
“Captivating content, cutting-edge technologies and robust data are core to our business and combine to ensure a fantastic service for our viewership of 150 million viewers per week. Looking forward, we anticipate expansion through content diversification, new subscription models, targeted advertising and expanded geographic presence. We are also excited by the growth in new areas such as gaming and events,” Mr. Barnett further added.