RIYADH– ADES Holding Company (“ADES” or the “Company”) and together with its subsidiaries (the “Group”), a leading oil and gas drilling and production services provider in the Middle East and North Africa region (the “MENA” region), today announces its intention to proceed with an initial public offering (“IPO” or the “Offering”) and the listing of its shares (“Shares”) on the Saudi Exchange’s Main Market. 

On 21 June 2023, the Capital Market Authority (“CMA”) approved the Company’s application for registering its share capital and Offering 338,718,754 ordinary shares of the Company’s total capital by way of sale of 101,615,626 existing shares (the “Sale Shares”) by ADES Investments Holding Ltd., the Public Investment Fund (“PIF”) and Zamil Group Investment Ltd. (in proportion to their existing shareholding), together referred to as (the “Selling Shareholders”), and the issuance of 237,103,128 new shares (the “New Shares”) (referred to with the Sale Shares as (the “Offer Shares” and each as an “Offer Share”) for public offering through a capital increase. The Sale Shares represent 9% and the New Shares represent 21% of the Company’s issued share capital upon completion of the Offering, totalling 30% of the issued share capital (after issuance of the New Shares and the Company’s capital increase).

The Company will also issue 33,871,875 new shares to be allocated to the employees of the Company and its Subsidiaries, which shall be maintained as treasury shares until they are transferred to the employees in accordance with the provisions of the long-term incentive scheme.

The Offering proceeds after deducting IPO-related expenses will be distributed to the Selling Shareholders pro rata based on their shareholding in the Sale Shares, with the remaining proceeds used to reduce part of the Group’s outstanding debt and finance the Group’s strategy to achieve its growth objectives.

The final pricing of the Offer Shares will be announced on Monday 13/03/1445H Corresponding to 18 September 2023G.