AlAbraaj offers a range of dining experiences across multiple segments, appealing to a broad customer base and enhancing resilience in the market.

The company is led by a seasoned leadership team with extensive industry knowledge and a clear vision for future growth.

With efficient operations and an established infrastructure, AlAbraaj is well-positioned for rapid scalability and further geographic expansion.

AlAbraaj Restaurants Group holds a strong position in Bahrain’s food service market, capturing nearly 5% of the overall market share and 10% of the full-service segment in 2023. As one of the most successful restaurant groups in the country, its market penetration highlights the business potential in the GCC and MENA regions.

In Bahrain, the Company’s focus remains steadfast on enriching the dining experience for customers while strengthening brand presence. The Company plans to keep capitalizing on Bahrain's burgeoning food scene by continuing to introduce innovative concepts, elevating culinary standards, and expanding its portfolio of restaurants. By further investing in prime locations, enhancing menu offerings, and delivering exceptional service, the Company aims to capture a larger share of the market and solidify its position as a leading player in Bahrain's hospitality industry. The Company also plans to further venture into the promising market of Saudi Arabia, where a growing appetite for diverse dining experiences together with its young and growing population presents opportunities. The Company's expansion strategy will be guided by market research, strategic partnerships, and a deep understanding of local preferences and trends. This builds on the Company’s successful entry into the Saudi market through franchises of its Lumee brand in Khobar in 2022 and its more recent franchises of YaSalam in King Abdulaziz International Airport in Jeddah, and Mezza-W-Mashawi in King Khalid International Airport in Riyadh. By adapting the Company’s offerings to suit the unique tastes and preferences of Saudi consumers, it aims to establish a strong foothold in key cities such as Riyadh and in the Eastern Province and capitalize on the Kingdom's vast potential. Through these growth verticals, the Company is poised to unlock new avenues for revenue generation, drive shareholder value, and reinforce its commitment to delivering traditional yet innovative culinary experiences. With a dynamic portfolio of restaurants spanning across Bahrain and Saudi Arabia, it is well-positioned to capitalize on emerging trends, capture market share, and create lasting value for stakeholders.

The near-term outlook for the market is positive, underpinned by a number of socioeconomic factors that support AlAbraaj Restaurants Group’s growth. The Bahrain and KSA markets are characterized by a young demographic and growing populations, increased spending power, urbanisation and high employment rates, resulting in a projected CAGR growth of 9.5% of the GCC food service market between 2022-2027.

Like any investment, subscribing to an IPO involves certain risks, including market volatility, competition, and operational challenges. We recommend reviewing the risk factors section in the prospectus and consulting with your financial advisor before making any investment decisions.

The AlAbraaj Restaurants Group IPO offering will commence on 24 November and will be open for a period of 15 days to 8 December during which potential investors can submit their applications

The Offer is comprised of 38,181,818 shares equating to an offer size of BHD 9mn. The IPO will offer 35% of the company’s total issued share capital.

Bahrain Bourse Main Market

One share at the offer price of BHD 0.236 per share

BHD 0.236 per share representing a 13.3x P/E ratio and an 8.0% dividend yield (expected 2024)

The IPO is open to all, including Bahraini and non-Bahraini nationals. US Persons and citizens of countries sanctioned by the Kingdom of Bahrain are not eligible to participate in the Offering.

The IPO offer is directed at professional and retail investors. Professional Applicant: 

An Applicant is deemed to be a Professional Applicant if it subscribes for a minimum of one million and five hundred thousand (1,500,000) Shares; 

and 

Retail Applicant: An Applicant is deemed to be a Retail Applicant if it subscribes for less than one million and five hundred thousand (1,500,000) Shares.

Applications can be submitted for the entire IPO size of 38 million shares, however, allocations are capped at a maximum of 10% of the offer size.  The minimum application is for 1 share.

No

Potential investors can submit their applications at any of the four registered Khaleeji Bank branches during the offer period or apply online via www.alabraajipo.com.

Investors will be eligible to all dividends distributed from the fourth quarter of 2024 (i.e., October 2024 to December 2024) and thereafter with an expected 8% annual dividend yield, paid out on a quarterly basis.

In person at any branch of Khaleeji Bank B.S.C. (c) in Bahrain, at the Bahrain Financial Harbour, Wadi Al Sail, Hidd and Sanad. Alternatively applications can be made electronically at www.alabraajipo.com

No.  Only pre-IPO owners are subject to lock up.

For Individuals: 

(a) Completed Application Form 

(b) The original and copy of the individual’s valid passport or valid international travel document; 

(c) The original and copy of the individual’s valid national identification card or an equivalent document: 

    i. Bahrain nationals: National identity card; 

    ii. GCC nationals: Official identification card or equivalent document issued by the Applicant’s country of citizenship, or, if a resident of Bahrain,    Bahraini national identity card; or 

    iii. Other nationalities: Official identification card or equivalent document issued by the Applicant’s country of citizenship. 

(d) Proof of permanent residential address if an Application Form is submitted with Application Funds in excess of BHD 5k. The proof can consist of a copy of a recent utility bill, bank statement or similar statement from another bank or financial institution licensed in the country, which have been issued within three months prior to their presentation, or official documentation, such as a smartcard, from a public/governmental authority, or a tenancy agreement; 

(e) If an individual Applicant has an existing IN, proof of such IN is required in the form of a Bahrain Clear investor card or statement of account, or a Bahrain Clear system print-screen; 

(f) Bank account details from the Applicant’s bank in the form of a bank statement, a bank online system print-screen or a bank letter indicating the account details, including the IBAN and bank name. The Applicant’s bank account details will be utilized for any future dividend distributions by the Company; and 

(g) Payment or proof of payment in either a Manger’s cheque or a wire transfer. 

For Corporate Entities: 

All corporate entities must provide the following documentation together with a completed Application Form: 

(a) A copy of a valid commercial registration certificate of the corporate entity; 

(b) A copy of the memorandum and articles of association, or equivalent, of the corporate entity; 

(c) The original and copy of the valid passport or international travel document of the person(s) signing on behalf of the corporate entity; 

(d) The original and copy of a valid national identification card of the person(s) signing on behalf of the corporate entity: 

    i Bahrain nationals: National identity card; 

    ii GCC nationals: Official identification card or equivalent document issued by the individual’s country of citizenship, or, if a resident of Bahrain, Bahraini national identity card; or 

    iii Other nationalities: Official identification card or equivalent document issued by the individual’s country of citizenship. 

If the corporate entity has an existing IN, proof of such an IN is required in the form of a Bahrain Clear investor card or statement of account, or a Bahrain Clear system print-screen; 

The original and copy of the document authorising the person(s), whose signature(s) appear(s) on the Application Form to sign such document on behalf of the corporate entity. Such a document can be either a power of attorney or a resolution of the board of the corporate entity; 

Bank account details from the Applicant’s bank in the form of a bank statement, a bank online system print-screen or a bank letter indicating the account details, including the IBAN and bank name. The Applicant’s bank account details will be utilized for any future dividend distributions by the Company; and 

Payment or proof of payment

You should make an informed decision based on a detailed review of the offering documents, available at www.alabraajipo.com. You may also wish to discuss this with your financial advisor before making an investment decision. 

AlAbraaj Restaurants Group believes it has several competitive strengths that make it a compelling investment opportunity, which are included below and described in greater detail in the Prospectus, available on the AlAbraaj Restaurants Group IPO website (www.alabraajipo.com): 

‒ Strong portfolio of recognizable brands championed by a leading player in Bahrain’s casual dining scene, with a solid growth track record since 1987.

‒ AlAbraaj Restaurants Group is a highly adaptable business that targets the resilient casual dining segment and continuously reconfigures its restaurant portfolio to align with evolving consumer preferences.

‒ AlAbraaj Restaurants Group has post-IPO dividend distribution expectations of 8% annually (and distributed quarterly) on the IPO offer price ‒ AlAbraaj has a strategic vision over the next five years, targeting over 12 new restaurants with a focus on Saudi Arabia. Dividends are anticipated to increase with targeted growth plans. 

‒ AlAbraaj Restaurants Group’s experienced and dedicated management team is overseen as a closelyknit family-run business with deep alignment through their historical performance and significant majority ownership (The Company is the exclusive owner of the family’s entire dining business) 

‒ AlAbraaj Restaurants Group has a diverse portfolio of 16 renowned brands in 37 physical locations, 5 franchised restaurants, and 22 virtual restaurants catering to a wide array of tastes and preferences across multiple locations

On 19 December 2024, the company’s shares will be listed and will commence trading on the Bahrain Bourse under the ticker symbol ABRAAJ.  To trade, you will need an active account with a Bahrain Bourse registered broker.  A list of such brokers can be found on the Bahrain Bourse website here: https://bahrainbourse.com/en/Brokers/MemberInformation/member-firm-directory 

You can obtain detailed information by reviewing the IPO prospectus.  On this website, under More Documents and Downloads