IPOs in GCC gather momentum amid global volatility

IPOs in GCC gather momentum amid global volatility

RIYADH: Gulf markets have witnessed a banner year with regards to initial public offerings, benefiting from a war-driven surge in oil prices. The Gulf Cooperation Council exchanges have seen an increase in foreign inflows despite ongoing global volatility, which sent shares to their lowest levels in years because of inflation and interest rate concerns. Saudi Arabia’s stock market raised almost $9.3 billion through 15 IPOs last year, making it one of the most active markets in the Middle East and Africa. Tadawul, or the Saudi Stock Exchange, maintained its momentum in 2022, as it listed 17 companies, raising $5.07 billion from IPOs in the first half of the year. The main TASI index accounted for eight listings generating $4.4 billion, and the parallel Nomu market had nine listings worth $649 million. Among the major initial share sales were Elm Co., Nahdi Medical Co. and Al-Dawaa Medical Services Co., which sold out in record time. Elm, Saudi Public Investment Fund’s digital security firm, ranked second among all high-flying stocks in the first half of 2022, gaining 70 percent since its listing this year. Al-Dawaa Medical Services Co., whose IPO was 2,515 percent oversubscribed, suffered a 9 percent drop in share price