Sport Clubs Company Receives Approval to List on Saudi Bourse

Sport Clubs Company in Riyadh has received approval to float 30% of its shares on the Saudi stock exchange, with a sale of 34.3 million shares. The company, founded in 1994, operates 56 branches across 18 cities and has expanded into fitness equipment distribution. This follows a trend of successful IPOs by Saudi companies in 2023.

The Riyadh-based Sport Clubs Company has secured authorization to list 30 percent of its share capital on the Saudi stock exchange, amounting to the sale of 34.3 million shares. The approval from the Capital Market Regulator is valid for six months, contingent on the completion of the initial public offering (IPO) within this time frame. Failure to meet this deadline will result in cancellation of the approval.

Founded in 1994, Sport Clubs operates 56 branches across 18 cities in Saudi Arabia. Its portfolio comprises 41 men’s clubs branded as “Body Masters” and 15 women’s clubs under the “Body Motions” brand, according to the information available on its website. The company’s reach demonstrates its significant presence in the fitness industry within the kingdom.

In addition to its fitness facilities, Sport Clubs expanded into the fitness equipment distribution market in 2020 by launching the Body Experts division. The health and wellness initiative in Saudi Arabia continues to gain momentum, with numerous fitness brands considering expansion in the region.

As of this year, four Saudi companies have successfully executed IPOs and commenced trading on the kingdom’s main exchange. These companies include Almoosa, Nice One, Derayah Financial, and the Arabian Company for Agricultural and Industrial Investment, also known as Entaj. This trend reflects an increasing appetite for investments in diverse sectors within the Saudi market.

In conclusion, Sport Clubs Company’s approval to list 30 percent of its shares on the Saudi stock exchange marks a significant milestone for the fitness industry in the region. With a substantial operational footprint and diversification into fitness equipment distribution, the company is poised for growth. Additionally, the completion of multiple IPOs this year indicates a thriving market environment for Saudi companies, enhancing prospects for continued economic development.

Original Source: www.agbi.com