RIYADH, (Reuters) – Investors offered 18.2 billion riyals ($4.85 billion), or 73 percent more than Saudi Arabia’s Alinma Bank was seeking to raise in the country’s biggest IPO, Al Arabiya television reported on Sunday, citing the arranger.
Alinma sold 1.05 billion shares at 10 riyals each, raising 10.5 billion riyals in the initial public offering that ended on Wednesday, Samba Financial Group 1090.SE said, according to Al Arabiya. The sale is equivalent to 70 percent of the bank’s share capital.
Alinma, which has yet to start business, will provide services such as project financing that comply with Islamic law.
Islamic banks cater to investors who want to avoid paying or earning interest, which is viewed as usury under Islamic law.