06Jan2005 Largest Saudi insurance company oversubscribed by 11.5 times

Jeddah, 6 Jan 2005

The initial public offering (IPO) of Saudi Arabia's largest insurance company was oversubscribed 11.5 times, Finance Minister Dr. Ibrahim Al-Assaf said yesterday.

The state-owned National Company for Cooperative Insurance (NCCI) offered 70 percent of its shares over a two-week period from Dec. 21 at SR 205 ($54.70) each.

Preliminary results of the subscription, which was valued at SR 1.435 billion ($410 million), has reached SR 16.566 billion ($4.4 billion), Assaf said in a statement.

The IPO was "oversubscribed 11.5 times and the number of subscribers reached 807,583" Saudi nationals, he said. "The excess (subscription) money will be returned to investors through banks," he added.

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