Saudi Arabia's Capital Market Authority (CMA) has approved the application of United Carton Industries Company (UCIC) to proceed with an initial public offering (IPO), paving the way for the packaging manufacturer to list 30% of its shares on the Saudi stock market.
The company plans to offer 12 million ordinary shares, representing 30% of its total share capital, according to the CMA's approval. The regulator noted that the approval remains valid for six months from the date of its resolution, after which it may lapse if the listing and offering are not completed.
Founded in 1990, UCIC is one of Saudi Arabia's established manufacturers of corrugated cardboard packaging solutions. The company operates five production plants that serve businesses across multiple industries, supplying corrugated boxes used in manufacturing, retail, logistics, food and beverage, consumer goods, and e-commerce.
Collectively, the company's facilities have an annual production capacity of approximately 420,000 tonnes, positioning UCIC among the Kingdom's notable players in the paper-based packaging industry.
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The planned public offering comes as demand for sustainable and recyclable packaging continues to rise globally, driven by the growth of e-commerce, retail distribution, and consumer goods manufacturing. Corrugated cardboard packaging has increasingly become the preferred alternative to certain plastic packaging because of its recyclability and lower environmental impact.
For Saudi Arabia, the listing also reflects continued activity in the Kingdom's capital markets as more industrial and manufacturing companies seek public investment to support expansion and improve access to long-term funding. Increased listings have been a key feature of Saudi Arabia's broader efforts to deepen its financial markets and diversify its economy under Vision 2030.
Following the CMA's approval, additional details including the offer price, subscription period, financial adviser, and final prospectus were expected to be announced ahead of the share sale.
While the CMA's approval authorises the offering to proceed, it does not constitute a recommendation to invest. Prospective investors are expected to review the company's prospectus carefully before making investment decisions.
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