JPMorgan, HSBC Said Planning to Bid for $4 Billion Saudi IPO - Bloomberg

JPMorgan, HSBC Said Planning to Bid for $4 Billion Saudi IPO - Bloomberg:



"JPMorgan Chase & Co. and HSBC Holdings Plc (HSBA) are among banks planning to compete for a role in the largest Saudi Arabian share sale in at least 12 years, according to five people with knowledge of the matter.



The banks will vie with local lenders including Banque Saudi Fransi (BSFR) and Gulf International Bank to be appointed as financial adviser on the sale of a 15 percent stake in Jeddah-based National Commercial Bank, the people said, asking not to be named as the information isn’t public. NCB, as the lender is known, sent out a request for proposals to banks to manage the initial public offering earlier this week, the people said.



The first Saudi bank IPO since 2008 could raise about 16 billion riyals ($4.3 billion) based on NCB’s profits and trading values of other Saudi banks, according to Asim Bukhtiar, head of research at Riyad Capital, the investment-banking unit of Riyad bank. That would surpass the 15 billion-riyal offering by Saudi Telecom Co. (STC) in 2002, according to data compiled by Bloomberg."



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