Americana, Middle East Operator for Pizza Hut and KFC Set for $2 Billion IPO

    Pizza Hut and KFC restaurant operators in the Middle East are preparing for a dual listing. Mohammad Alabbar, a Dubai-based businessman and Public Investment Fund of Saudi Arabia, will sell 30% of their stake in the company.




    Dual Listing

    The first-of-its-kind dual listing initiated by Americana Restaurants International PLC will see the owners offload 2.53 billion shares in Abu Dhabi and Riyadh. The IPO can raise around $2 billion, per sources familiar with the developments. This will make the biggest IPO listing in Saudi Arabia in 2022. As per Bloomberg news, final discussions are still on, and things may change. The representative of Americana Restaurants declined to comment on the matter.

    Americana will have the shares traded in Saudi Arabia, and Abu Dhabi Tadawul Exchanges have encouraged companies to dual list.

    The offer will open from November 14-21 for retail investors in KSA and UAE until November 22 for institutional investors. Trading in these exchanges will start around December 6.

    This year Americana is looking to pay out a dividend of about 75% of the net profit accountable to the parent company for six months ending December 31. It plans to pay a dividend for the whole year from 2023 onwards for a minimum of 50% of net profit.

    IPO Rush in the Middle East

    The Americana listing is part of the later IPO rush at the year-end in the Middle East, even though the worldwide economy is hit by inflation a d fears of recession. The oil price surge in 2022 and the increase in investor activities have helped to a flurry of stock listings in the Gulf. The first half of 2022 has been good for stock market debuts in this region.

    The crowded IPO calendar in the region in which Americana is now joining will also see

    district cooling company Empower offering $543 million, and Riyadh cables group and Taaleem Holdings PJSC, both measuring investor demand for their IPO this week

    Americana also operates restaurants for other brands, such as Costa Coffee, Baskin Robbins, TGI Fridays, KFC, and Pizza Hut. It was earlier operated by Kuwait Food Co, which included food and restaurant businesses under the wider Americana Umbrella. The IPO will be for the food business only.

    Americana earned revenue of $2.05 billion and a net profit of $204 million for the year ending December 2021. Adeptia AD Investments SPC Ltd, owned by Mohammad Alabbar, bought this company in 2016, while the PIF, Saudi Arabia, took a stake of 50% in Adeptia. Americana later delisted itself from the Kuwait Stock Exchange.

    Goldman Sachs, Morgan Stanley, First Abu Dhabi Bank PJSC, and SNB capital are global coordinators, while EFG Hermes and HSBC are joint book runners.



    RELATED ARTICLES

    Business Cards

    Unlocking the Power of Business Cards: Networking Essentials for Success

      Table of Contents Introduction The Evolution of Business Cards Why Business Cards Still Matter Designing...
    Lab-Grown Diamonds

    The Science Behind Lab-Grown Diamonds: How They’re Made and Why They Shine Bright

    Introduction: Welcome to the dazzling world of lab-grown diamonds, where science meets sparkle! If you've ever...
    IT Providers

    How Do Outsourced IT Providers Fuel Business Growth?

    In an era where technology seamlessly integrates into every facet of a business, maintaining an...
    Workplace Diversity

    Navigating Workplace Diversity: Building Inclusive Teams and Fostering Cultural Understanding

    In today's globalized and interconnected world, workplace diversity has become more than just a buzzword—it's...
    Eyewear Innovations

    Eyewear Innovations: How Eyebuydirect CEO Sunny Jiang Is Leading the Way

    With the increasing use of digital devices and the widespread promotion of eye health, vision,...
    Client Meetings

    Why Schedule Commercial Cleaning Before Client Meetings?

    First impressions hold immense power, especially in the business world. How you and your environment...
    MBA Programme

    Dual Degree MBA Programme: A Unique Educational Opportunity

    In today's world, professional success requires more than traditional management skills. It calls for a...
    women ipl

    Women IPL Sensation Shreyanka Patil: From Fan to Champion

    In a cricketing universe usually ruled by dudes, Shreyanka Patil, the rookie wonder for Royal...
    Monetize Magnet

    Monetize Magnet Review – The Best Crypto and Forex CPA Network

    In today's world, cryptocurrency has reached new heights, expanding continuously and providing online earning opportunities...
    celsius drink

    Celsius Drink – What Is It and How Safe Is It?

    These days, you must come across your social media feeds with an advertisement for a...
    low porosity hair

    Low Porosity Hair Problem? Slay Locks with Moisture Miracle

    Have you ever experienced your hair being stubbornly resistant to moisture? That's low porosity hair...