Company Profile:
The Leejam activities consist of:
- construction management and operation of sports and recreational centers.
- contracting services for the maintenance, cleaning, and operation of buildings and factories.
- wholesale and retail trade in sportswear and sports equipment.
- ownership of the real estate and construction of buildings as necessary to achieve the company’s purposes.
Leejam became the first fitness company to be listed in Saudi and the GCC in September 2018.
Challenge:
Leejam was, and still is, one of the success stories of Saudi companies. In October 2018 when they went public, they had no IR department. There was an individual handling the mandatory requirements to ensure compliance with the regulators’ requirements, although he left within 6 months of listing. Couple that with a number of changes at both Board and Senior Management levels, and the lack of a permanent and dedicated IRO, the Company had minimal guidance on the direction they wanted to head in with regards to IR.
Solution:
Sager IR stepped in immediately after listing and worked very closely with the Senior Management team to understand their needs and wishes. It was very clear that the Company was looking to stabilize its investor base, grow its Qualified Foreign Investor Holding, and become a key and active player in the Investor Community.
SIR helped facilitate their desires by establishing and developing a fully functioning institutionalized IR department. We drafted the company IR manuals, policies, procedures whilst giving on-the-job training and advice to staff, 24/7. We were on-hand at all hours of the day to ensure that any required works were completed on time. Any and all Regulator communication was handled by our experienced in-house team, who firstly ensured the announcement told the right story in both Arabic and English, before uploading either to Tadawul via IFSAH or to the CMA via ECMA. This includes the upload of all financial statements and XBRL files. We also helped draft the IR strategy and implemented KPIs for the incumbent IRO. Together with senior management, we prioritized key areas of development and helped prepare the CEO and CFO for all interactions with investors, including Conferences, Meetings, and quarterly earnings calls.
Result:
The company now has a functioning, best-practice department, with the right tools to ensure stock performance and business continuity in the event of any unforeseen changes. The Company goes above and beyond the mandatory requirements for Investor Relations, and has achieved some of its initial goals, most notably in growing its foreign investor base, from 0% at listing to just over 10% as of February 2020 as well the share price performance was outstanding. The Senior Management team is very active in attending conferences and meetings and is very proactive, rather than reactive, as they continue in their efforts to attract investors from around the world.