PATH TO LISTING.
Prepare for the next chapter.
GREENLINE provides IPO readiness capabilities for SMEs. It starts with reporting and the records your advisers will need, and tracks each step to a listing on the Saudi Exchange with its owner, its evidence and its status.
GREENLINE supports the preparation. Eligibility, the offering and the listing are decided by your advisers, the Capital Market Authority and the Saudi Exchange.
NOTE 3
Path to listing.
This note sets out the two markets of the Saudi Exchange, the eight steps between a private company and a listed one, and where GREENLINE's role ends.
Two markets, different requirements.
The Main Market and Nomu, the Parallel Market, differ in size, history, float, investors and reporting. Exhibit 3 compares them.
| REQUIREMENT | MAIN MARKET | NOMU – PARALLEL MARKET |
|---|---|---|
| Legal form | Joint stock company | Joint stock company |
| Minimum market value | SAR 300 million | SAR 50 million |
| Operating history | A main activity for at least 3 financial years, under substantially the same management | At least 1 year of operational and financial performance |
| Financial statements | Audited statements for at least the previous 3 financial years, under the accounting standards approved by SOCPA | Annual audited statements and semi-annual reviewed statements |
| Public float | At least 30% | At least 20% of issued shares, or SAR 50 million worth, with at least 10% held by the public at listing |
| Public shareholders | At least 200 | At least 50 |
| Investors | Institutional and retail | Qualified investors, as the CMA defines them |
| Reporting after listing | Quarterly statements within 30 calendar days; annual within 3 months | Semi-annual statements within 45 calendar days; annual within 3 months |
Eight steps, each with its evidence.
Each step has an owner, the evidence behind it and a status. The left column is what the step takes; the right is what GREENLINE does.
Readiness review.
Choose the market and the route, an offering or a direct listing on Nomu. Appoint the financial adviser and agree the timetable.
The readiness checklist, and checks on what the ledger can show: years of audited statements, operating history, the trend of results.
Full IFRS® reporting.
Statements under the standards approved by SOCPA. A company reporting under IFRS for SMEs moves to full IFRS Accounting Standards, with restated comparatives.
Built-in IFRS rules at every period end. For the move, the IFRS 1 opening statement of financial position, the reconciliations and a draft transition note.
Audited history.
Audited statements for the years the market requires, and reviewed interim statements during the application.
A close that locks only when no rule is open. Every figure traceable to its source; each approved version frozen with its SHA-256 fingerprint.
Joint stock company and governance.
Conversion from a limited liability company to a joint stock company, and the board, committees and written policies a listed company is expected to have.
Owners and approvals on every step, and segregation of duties in the books: who prepares, who reviews, who approves.
Controls and records.
Controls over financial reporting and payments that the advisers and the auditor will examine, and complete related-party records.
Payment controls, a hash-chained audit log, related-party disclosure checks under IAS 24, and readiness tracking for ISO and NCA controls.
Due diligence and valuation.
Financial and legal due diligence by the advisers, and the valuation behind the expected market value.
One source for the numbers the advisers request, with the evidence attached to each step.
Application and offering.
Applications to the CMA for registration and offering and to the Saudi Exchange for listing, the prospectus, and the offering itself.
Each document tracked with its owner and status. Your advisers prepare and file.
Listing and continuing obligations.
Periodic statements within the market's deadlines, and prompt disclosure of material information.
The close calendar, and quarterly or semi-annual statements from the same books.
What GREENLINE does not do.
It does not decide eligibility, and it does not replace your financial adviser, your legal counsel or your auditor. It gives no investment advice.
It prepares the records, runs the checks and keeps the evidence in one place, so your advisers spend their time on judgment rather than on chasing numbers.
After listing: a preference in government tenders.
Under the Preference Regulations, a company listed on the capital market receives 5 points within the weighted component of the financial evaluation of designated government tenders, alongside its certified local content score. See Note 2.6.
NEXT
Start with reporting and the records needed for review.
BOOK YOUR FINANCE-READINESS DEMOIn a demonstration we identify which of your records, controls and reports GREENLINE can support, and what your advisers will still need. Read the FAQ.