RIYADH: UAE-based grocery store operator Spinneys 1961 Holding PLC is planning to make its debut in Saudi Arabia, capitalizing on the Kingdom’s development and increasing demand for retail products. The company’s CEO, Sunil Kumar, stated that the supermarket chain is targeting expansion into Jeddah, after making its initial entry into Saudi Arabia via a store in Riyadh. According to an Instagram account linked to the shop in the Kingdom’s capital, there is no opening date yet for the outlet. The CEO highlighted that they are continually working to expand their store network. They currently own and operate over 70 shops in the UAE, including 15 Waitrose locations, which they manage under a franchise agreement, as well as five Spinneys and Al Fair stores in Oman. “This growth in our store network is attributed to the strong reputation of our brand, and we expect to open three new stores in the UAE this year,” Kumar said. Speaking to the news outlet about their projections for the company’s profitability in the upcoming years, Kumar said that his firm has consistently delivered solid financial results since its establishment, evidenced by retail revenues of 2.9 billion dirhams in 2023. “We experienced robust growth on a like-for-like basis, underpinned by strong profit margins before interest, taxes, depreciation, and amortization, along with a high cash conversion rate. Furthermore, our prominent position in the retail food sector within the GCC region has enabled us to generate substantial cash flow,” he said. Spinneys has recently announced its intention to proceed with an initial public offering on the Dubai Financial Market. Al Seer Group, Spinney’s parent company and the selling shareholder, expects to sell 25 percent of the total issued share capital of the firm, equivalent to 900 million shares. The IPO’s subscription period will begin on April 23 and the DFM listing is set for May 9, the company said in a release. The offering will be made available to UAE retail investors with 5 percent or 45 million shares in the first tranche, while the second tranche will provide professional stakeholders with 855 million shares. Ali Saeed Juma Al-Bwardy, founder and chairman of Spinneys, said: “Ours is a brand with huge ambition, positioned to flourish in the GCC’s most attractive and fast-growing markets. Our IPO represents an opportunity for investors to be part of our next stage of growth and we are excited to embark on a new chapter, bringing our fresh opportunity to a wider shareholder base.” The release stated that the price per share, or offer price, will be denominated in Emirati dirhams and will be announced before the offer period.