Umm Al Qura for Development & Construction Co. has received around U$126 billion in orders for its IPO in Riyadh, which is expected to raise US$523 million.

The high demand shows an oversubscription of 241 times among local and international institutional investors.

The shares are priced at 15 riyals (US$4), the maximum price in the offered range. At this price, the company is valued at US$5.75 billion.

Umm Al Qura is undertaking one of Mecca’s largest development projects, aiming to enhance Saudi Arabia’s tourism and support economic diversification.

The project includes over 50,000 hospitality and residential units, valued at US$27 billion. This aligns with Saudi Arabia’s goal to host 30 million foreign worshippers annually by 2030.

The IPO is managed by Albilad Investment Company, GIB Capital, Al Rajhi Capital, and Alinma Investment Company, with Lazard Inc. as the financial adviser.