Saudi and UAE Dominate MENA IPO Market with $2.6 Billion Raised Across 14 Sales

Saudi and UAE Dominate MENA IPO Market: As per the reports of the EY MENA IPO Eye Q2 2024, in the second quarter of FY25, 14 IPOs earned $2.64bn in public subscriptions.

In the Q2 FY23, the IPO number rose from 13 listings and the total amount of funds raised rose by 45.3% against the previous quarter.

In the second quarter, Dr. Soliman Abdul Kader Fakeeh Hospital Co. was listed on the Tadawul main market and raised funds of around $764 million from its subscriptions which was 29% of the total IPO profits.

Followed by Alef Education Consultancy which issued its IPO on the Abu Dhabi Securities Exchange (ADX) and raised $515m which was 19.5 per cent of the profits.

Brad Watson who is the EY MENA Strategy and Transactions Leader said, “Whilst the MENA equity markets continue to face challenges, Q2 2024 was a stronger quarter with a total of 14 IPOs raising $2.6bn.”

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He further said, “Eleven of the companies listed were in the KSA region (five of which were on the Tadawul main market). The most significant fundraise was by Dr Soliman Abdul Kader Fakeeh Hospital Co. ($764m).”

“Increased liquidity driven by higher oil prices, economic recovery, and positive market sentiment has kept the IPO activity in the region buoyant with a strong pipeline for H2 2024.”

Among the 14 MENA IPOs, 8 of them showed huge profits in Q2 2024 and Miahona Company had the biggest gain of 90.4%.

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