The company’s stock was 50 times oversubscribed when it floated 20 million shares in November.
“It’s not surprising that shares began trading at this price,” said Saeed Al Sheikh, chief economist at the National Commercial Bank. “It could rise to between 400 and 500 riyals over the next few months.”
Sheikh said the starting price showed there was great demand for stocks in the kingdom. Shares in state insurer NCCI will be sold for 205 riyals each when subscription opens today. The market expects the offer to be 30 times oversubscribed.
The latest pledge would be additional to another $2 billion previously delivered by the United States
The agreement is the first bilateral trade deal between the Gulf and South America
Around 320 of 760 flights planned for Saturday had been cancelled so far