MBC Ventures Seizes 13.7% Stake in Anghami, Sparking Market Frenzy

MBC Ventures Seizes 13.7% Stake in Anghami, Sparking Market Frenzy

By Staff Writer, 25 March 2024

MBC Group, a prominent Saudi Arabian media corporation, has made a notable investment move by securing a 13.7% ownership stake in Anghami, the leading music streaming service across the Middle East and North Africa (MENA) region.

The acquisition, carried out through MBC Ventures, involved the purchase of 4,074,533 ordinary shares in Anghami, as revealed in a filing made by Anghami to the US Securities and Exchange Commission.

While the financial specifics of the investment remain undisclosed, calculations based on Anghami's closing stock price of $1.00 on March 19 estimate the transaction's value at approximately $4.074 million.

Following the public disclosure of MBC's investment, Anghami experienced a surge in its share price, rising by 59% on Wednesday, March 20, and concluding at $1.59.

This increase propelled the worth of MBC's 13.7% stake to $6.48 million, marking a significant upswing in Anghami's market value.

This spike in Anghami's share price on Wednesday marked its highest level since December 13, 2023.

MBC Group, previously known as Middle East Broadcasting Center, stands as a state-owned media conglomerate in Saudi Arabia.

Having debuted on the Saudi Exchange in January, MBC's initial public offering (IPO) saw overwhelming interest, being oversubscribed by 66 times, or roughly SAR 54.5 billion (approximately USD $14.53 billion).

The IPO successfully raised SAR 831 million ($221.6 million), establishing an implied market capitalization of SAR 8.3 billion ($2.21 billion).

This strategic alignment between MBC, a longstanding media authority, and Anghami, a swiftly expanding digital platform, signals a substantial advancement within the MENA entertainment sector.

Source: Mandy Dalugdug / Music Business Worldwide

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