International law firm Clifford Chance, with its Saudi partner Al-Jadaan & Partners, has advised Saudi Airlines Catering Co on its 30- percent initial public offering. It was the first IPO of one of Saudi Arabian Airlines five business divisions, and was more than twice covered by investors.
The catering unit of Saudi Arabian Airlines raised 1.3 billion riyals ($346.7 million) from the share sale, which had been delayed since late 2010 due to issues securing regulatory approval.
The Clifford Chance team was led by Dubai-based partner Mike Taylor, assisted by associate Mohammad Al Rasheed and associate Mark Dickinson. The Al-Jadaan & Partners team was led by partner Khalid Al-Abdulkareem who was assisted by associate Yasser Al Hussain.
Saudi Arabian Airlines started a process of privatisation in 2006 by splitting into six units: Ccatering, cargo, maintenance, airlines, flight academy, and ground handling. It plans to privatise each unit, and offer shares in them to the public. The ground services unit is expected to be the next to offer shares to the public, according to bankers in the kingdom.
Shaheen Pasha is Middle East Regional Editor at ALB. Follow us on Twitter: @ALB_TheBrief.
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