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Home » Companies » RASAN, Saudi Fintech Startup Raises $224 Million on Saudi Tadawul Stock Exchange
RASAN, Saudi Fintech Startup Raises $224 Million on Saudi Tadawul Stock Exchange
RASAN Saudi Fintech Startup Raises $224 Million on Saudi Tadawul Stock Exchange

Rasan, the Saudi fintech company that operates the highly popular online Insurance Aggregator Tameeni, has listed on the Saudi Tadawul Stock Exchange.

The IPO raised over $224 million and pushed its market cap to 3.65 Billion SAR being 129 oversubscribed.

Rasan is only the second Saudi technology firm to go public with the first being Jahez, the online delivery app which listed in 2022.

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Rasan Goes Public

Image Credit Tadawul Group

In a watershed moment for Saudi Arabia’s burgeoning fintech landscape, Riyadh-based InsurTech pioneer Rasan made a resounding debut on the kingdom’s Tadawul stock exchange on June 13th. 

Image Credit Tameeni

The much-anticipated initial public offering (IPO) marked the culmination of a meticulously planned listing process that commenced on May 5th, when the company formally announced its intention to go public.

Investor Response in Rasan’s IPO

Image Credit Rasan

Rasan’s IPO was met with an overwhelming response from investors, a testament to the firm’s innovative solutions and robust growth trajectory. The public offering witnessed an astonishing oversubscription rate of 129 times, with orders amounting to a staggering $29 billion. 

This remarkable demand dwarfed Rasan’s initial target of raising $224 million through the public listing, underscoring the immense confidence in the company’s future prospects.

Rasan’s Share Performance 

Image Credit Abdulrahman Abdullah

As trading commenced on the inaugural session, Rasan’s shares soared by the maximum permissible limit of 30%, closing at SAR 48.1 per share. This stellar performance propelled the fintech’s market capitalization to an impressive SAR 3.65 billion, nearly touching the $1 billion mark. 

Rasan’s successful IPO solidified its position as a leading player in the burgeoning InsurTech sector, poised to drive innovation and disrupt traditional insurance models.

Rasan’s Equity Offering

Rasan sold 22.7 million shares in its public offering, representing 30% of its outstanding shares. Of these, 17.4 million were existing shares held by early investors and founders, while the remaining 5.3 million were newly issued shares. 

This strategic equity offering facilitated the company’s growth ambitions and provided an exit opportunity for early backers, including the Saudi venture capital firm Impact46, Rasan’s largest shareholder.

Rasan’s co-founder and CEO, Moayad Alfallaj, expressed his elation at this pivotal moment, stating, “Rasan’s listing on the Saudi Exchange marks a pivotal moment in our journey, reinforcing our position as a leading InsurTech services provider in the region.”

Impact46:  Largest Shareholder in Rasan

Image Credit Impact46

Rasan’s remarkable journey to public listing would not have been possible without its investors’ unwavering support and strategic guidance, particularly Impact46, the Saudi-based venture capital firm. 

Image Credit Jahez

As the largest shareholder in Rasan and the only technology investor in the previously listed Jahez, Impact46 has demonstrated a keen eye for identifying and nurturing promising startups within the kingdom’s burgeoning tech ecosystem.

Impact46’s strategic partnership with Rasan has provided the fintech with the necessary capital and facilitated access to valuable resources, mentorship, and industry connections, enabling the company to navigate the challenges of scaling and achieving sustainable growth.

Rasan’s Journey

Image Credit Rasan

Established in 2016, Rasan has swiftly emerged as a trailblazer in Saudi Arabia’s InsurTech landscape, leveraging digital innovation to revolutionize how consumers access and manage insurance products and services. 

Image Credit Tameeni

Tameeni, the nation’s largest online insurance aggregator, is at the core of its offerings, empowering users to effortlessly compare, purchase, and renew insurance policies for vehicles, health, and travel with unparalleled convenience.

A Win for Saudi Arabia

Image Credit Rasan

Rasan’s monumental IPO success is not merely a triumph for the company itself but also a watershed moment for Saudi Arabia’s tech landscape. As the second technology firm to go public in the Kingdom, Rasan’s listing has set a precedent, paving the way for other innovative startups to follow suit.

This achievement is poised to attract further investment and talent to the Saudi tech sector, fostering an environment conducive to innovation, job creation, and economic diversification – key pillars of the ambitious Saudi Vision 2030.

Driving InsurTech Innovation

Image Credit Tameeni

Rasan’s trailblazing journey and successful public listing have positioned the company as a catalyst for driving innovation within Saudi Arabia’s insurance sector. 

By leveraging cutting-edge technologies and digital solutions, Rasan has revolutionized how consumers access and manage insurance products, streamlining processes, enhancing transparency, and delivering unparalleled convenience.

Rasan’s Contribution to Saudi Vision 2030

Rasan’s IPO is a financial milestone and a strategic alignment with Saudi Arabia’s ambitious Vision 2030 agenda. 

By fostering innovation and leveraging cutting-edge technologies, the company aims to drive positive change in the kingdom’s insurance sector, contributing to the broader goals of economic diversification and digital transformation.

Shaping the Future of InsurTech

Rasan’s successful IPO and impressive market debut underscore the immense potential of Saudi Arabia’s fintech ecosystem. 

As a trailblazer in the InsurTech space, Rasan is poised to shape the future of insurance services, leveraging cutting-edge technologies and innovative business models to deliver unparalleled value to customers. 

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