PetroRabigh E Prospectus

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(1)PROSPECTUS. Sale of 219,000,000 shares representing 25% of Rabigh Reﬁning and Petrochemical Company through an Initial Public Offering at an Offer Price of SAR 21 per share. RABIGH REFINING & PETROCHEMICAL COMPANY A Saudi Joint Stock Company with Commercial Registration No. 4602002161. Offering Period: 26/12/1428H to 3/1/1429H (corresponding to 5/1/2008G to 12/1/2008G) Rabigh Refining & Petrochemical Company (hereinafter referred to as “Petro Rabigh” or the “Company”) was established as a Saudi limited liability company under Commercial Registration Number 4602002161, dated 15 Sha’ban 1426H (corresponding to 19 September 2005G). The Company has been converted into a joint stock company pursuant to the Minister of Commerce and Industry Resolution No. 262/Q dated 22/10/1428H (corresponding to 3/11/2007G). Prior to the conversion, the share capital of the Company was SAR 6,570 million consisting of 657 million shares with a nominal value of SAR 10 each. The Company intends to increase its capital by SAR 2,190 million consisting of 219 million shares through an initial public offering (the “Offering or the “IPO”) of those new shares. The share capital of the Company after the Offering will be SAR 8,760 million consisting of 876 million shares with a nominal value of SAR 10 each (the “Shares”). The Offering of 219 million shares with a fully paid nominal value of SAR 10 and at a price of SAR 21 per share (SR 10 par value and SR 11 as premium), representing 25% of the issued share capital of Petro Rabigh, is directed at and may be accepted by: - Category (A) institutional investors (the “Institutional Investors”): this category includes certain institutions that were approached by the Lead Manager upon consultation with the Company based on certain criteria set forth by the Capital Market Authority (“CMA”). Institutional Investors are initially allocated 109,500,000 shares representing 50% of the Offering. - Category (B) retail investors (the “Retail Investors”): this category includes Saudi individuals only. A divorced or widow Saudi female with children from a non-Saudi husband can also subscribe on behalf of her children to the benefit of her account. Retail Investors are initially allocated 109,500,000 shares representing 50% of the Offering. The Lead Manager has the right to reduce the number of shares allocated to Institutional Investors to 54,750,000 shares representing 25% of the Offering in the event there is sufficient demand by Retail Investors or in any other event upon CMA’s consent. As a result, the number of shares offered to Retail Investors could increase by 54,750,000 shares to a total of 164,250,000 shares. The net proceeds from the Offering, after deducting the Offering expenses (the “Net Proceeds”), will be used by the Company to finance its operations (see “Use of Proceeds” section). The Offering is fully underwritten. Prior to the Offering, Saudi Arabian Oil Company (“Saudi Aramco”) and Sumitomo Chemical Company Limited (“Sumitomo Chemical”) (referred to collectively hereinafter as the “Founding Shareholders”) used to equally own the Company. The Company will offer new shares to public investors representing 25% of the Company’s post-Offering share capital (the “Offer Shares”). The Founding Shareholders will consequently retain 75% of the Company’s Shares hence retaining a controlling interest in the Company. The Offering will commence on 26/12/1428H (corresponding to 5/1/2008G) and will remain open for a period of 8 days up to and including 3/1/1429H (corresponding to 12/1/2008G) (the “Offering Period”). Subscription to the Offer Shares can be made through branches of the selling agents (the “Selling Agents”) during the Offering Period. Each individual subscriber to the Offer Shares (the “Subscriber” and collectively referred to as the “Subscribers”) must apply for a minimum of 10 Offer Shares. Each subscriber may not apply for more than 1,000,000 Offer Shares. A maximum of SAR 37.5 million worth of shares will be allocated to Petro Rabigh employees. The allocation to retail subscribers will be conducted in two stages: in the first stage, each subscriber will get a minimum of 10 shares. During the second stage, and in the event there is sufficient demand by retail subscribers, each subscriber for 50 shares or less will get full allocation of his subscription provided that total shares allocated do not exceed total shares offered to retail subscribers (162,464,286 shares). The balance of the Offer Shares (if available) will be allocated on a pro-rata basis. Excess of subscription monies, if any, will be refunded to Subscribers without any charge or withholding by the Selling Agents. Notification of the final allotment and refund of subscription monies, if any, will be made by 10/1/1429H (corresponding to 19/1/2008G). Each Share entitles the holder to one vote and each shareholder (the “Shareholder”) with at least 20 Shares has the right to attend and vote at the general assembly meeting (the “General Assembly Meeting”). The Offer Shares will be entitled to receive dividends declared by the Company after the date of commencement of the Offering Period and during subsequent fiscal years (see “Dividend Policy” section). Prior to the Offering, there has been no public market for the Shares in the Kingdom of Saudi Arabia or elsewhere. An application has been made to the Capital Market Authority for the admission of the Shares to the Official List and all relevant approvals pertaining to this Prospectus and all other supporting documents requested by the CMA have been granted. Trading in the Shares is expected to commence on the Saudi Arabian Stock Exchange (the “Exchange”) soon after the final allocation of the Shares (See “Key Dates for Subscribers” section). Subsequent to Shares commencing trading, Saudi and Gulf Cooperation Council (“GCC”) member states nationals, non-Saudi nationals with valid residence permits (Iqama), companies, banks and funds will be permitted to trade in the Shares. The “Important Notice” and “Risk Factors” sections in this Prospectus should be considered carefully prior to making an investment decision in the Offer Shares hereby.. Financial Advisor and Lead Manager. Co-Lead Underwriters. Co-Underwriters. Selling Agents. This Prospectus includes details given in compliance with the Listing Rules of the Capital Market Authority of Saudi Arabia. The Directors, whose names appear on page iii; collectively and individually, accept full responsibility for the accuracy of the information contained in this Prospectus and confirm, having made all reasonable enquiries, that to the best of their knowledge and belief, there are no other facts the omission of which would make any statement herein misleading. The Authority and the Saudi Arabian Stock Exchange take no responsibility for the contents of this document, make no representations as to its accuracy or completeness, and expressly disclaim any liability whatsoever for any loss arising from, or incurred in reliance upon, any part of this document.. English Translation of the Official Arabic Prospectus. This Prospectus is dated 6 Dhu Al-Hijja 1428H (corresponding to 16 December 2007G).

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