Sport Clubs IPO: Saudi Fitness Firm Surges on Trading Debut - Bloomberg
Shares of Sport Clubs Co., a Saudi Arabia-based fitness operator, soared in their trading debut on Tuesday, bucking a streak of muted listings in the kingdom.
The stock rose to 9.3 riyals, up 24% from the offer price of 7.5 riyals, giving the company a market valuation of over 1 billion riyals ($266 million). The broader Saudi stock market fell. The IPO was priced at the top of its range and was 44.1 times oversubscribed, signaling strong investor demand despite a broader market slowdown.
This marks the first listing on the Saudi exchange in the third quarter and stands in contrast to a string of underwhelming IPO debuts earlier in the year.
It also comes at a time when weaker oil prices have weighed on investor sentiment. The strong debut could signal selective confidence in domestic, consumer-driven sectors aligned with Saudi Arabia’s Vision 2030 economic reforms, which emphasize sports and physical fitness.
Another upcoming Saudi IPO is Dar Al Majed Real Estate Co., known as Almajdiah. The company plans to offer 30% of its capital, with the subscription period for retail investors set for August 14–18. This IPO is expected to test whether the current positive momentum in Saudi listings can continue amid broader market pressures.
Gulf stock markets have had a mixed start to 2025 as investors weigh local growth against global economic uncertainty. UAE shares have performed well, helped by economic reforms and diversification. By contrast, Saudi stocks have faced pressure. Saudi Arabia’s steady growth in its non-oil economy, along with its low debt levels, gives it more room for spending if needed.
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