Spinneys 1961 Holding PLC to Enter Saudi Arabia Market
In a strategic move to capitalize on Saudi Arabia’s development and increasing retail demand, UAE-based grocery store operator Spinneys 1961 Holding PLC is gearing up to make its debut in the Kingdom.
Expansion Plans in Jeddah
CEO Sunil Kumar revealed that the supermarket chain is eyeing expansion into Jeddah, following its initial entry into Saudi Arabia through a store in Riyadh. While an opening date for the Jeddah outlet is yet to be announced, the company is actively working to expand its store network.
Strong Growth and Financial Performance
Currently operating over 70 shops in the UAE, including Waitrose locations managed under a franchise agreement, Spinneys also has a presence in Oman with Spinneys and Al Fair stores. Kumar emphasized the company’s strong brand reputation, with plans to open three new stores in the UAE this year.
Reflecting on the company’s financial performance, Kumar highlighted solid retail revenues of 2.9 billion dirhams in 2023. Spinneys has experienced robust growth, strong profit margins, and high cash conversion rates, positioning it as a key player in the GCC retail food sector.
Upcoming IPO on Dubai Financial Market
Spinneys has announced its intention to proceed with an initial public offering on the Dubai Financial Market. The IPO, set to begin on April 23 with a listing on May 9, will see the selling shareholder, Al Seer Group, offering 25 percent of the total issued share capital, equivalent to 900 million shares.
Opportunity for Investors
Founder and chairman Ali Saeed Juma Al-Bwardy expressed the brand’s ambition and growth potential in the GCC markets. The IPO presents an opportunity for investors to be part of Spinneys’ next stage of growth, with the offer price denominated in Emirati dirhams to be announced before the subscription period.