The UAE’s financial markets have witnessed record requests estimated at half a trillion dirhams for 4 initial public offerings of new companies since the beginning of this year.
According to the Emirates News Agency (WAM), the record orders reflect the great confidence in the strong economic approach adopted by the UAE in its major companies and institutions.
The new offerings have succeeded in providing attractive investment opportunities, allowing investors to participate in the strong growth of the UAE economy.
These offerings paved the way for companies to begin their journey in the UAE markets, which are considered among the most important financial markets at the regional and global levels.
The new offerings raised revenues exceeding AED 8 billion, amid record demand from investors and sovereign funds, with total demand reaching around AED 492 billion.
These offerings have played a major role in increasing the depth of local markets, enhancing their attractiveness, and attracting a new segment of investors, thus consolidating their position as one of the most prominent financial markets in the world.
Imminent plans for listing
The UAE markets are witnessing more listings, as several local companies are planning to list soon, including Delivery Hero, which is preparing to list its Talabat platform on the Dubai Financial Market during the fourth quarter of this year.
Listings in the markets continued, showing great resilience in the face of global fluctuations, following the record successes of initial public offerings during the past three years, for leading companies such as DEWA, Alpha Dhabi, ADNOC Drilling, and others.
Parkin was also listed on the Dubai Financial Market as the first listing this year, achieving exceptional interest from investment institutions and individual investors, as the total subscription requests exceeded 259 billion dirhams, exceeding the subscription value by about 165 times, and the offering size reached 749.7 million shares, which is the highest subscription level in the history of the Dubai market.
Wide demand for offerings
In a related context, the IPO of Spinneys 1961 Holding witnessed a wide turnout with a total demand of AED 71 billion, achieving coverage of 64 times, which is the highest level of demand in non-government initial public offerings in recent years.
Furthermore, Alef Education Holding successfully launched its shares on the Abu Dhabi Securities Exchange, raising proceeds of around AED 1.89 billion, with exceptional demand exceeding AED 74 billion, achieving coverage of 39 times.
NMDC Energy completed its initial public offering (IPO) on the Abu Dhabi Securities Exchange (ADX) this September, with demand exceeding 31.3 times, with the total value of applications submitted reaching approximately AED 88 billion, thus enhancing the success of offerings in the region.
