GCC’s share of global IPOs jump to 23% in 2022; UAE leads with 12 companies raising $11 billion

GCC’s share of global IPOs jump to 23% in 2022; UAE leads with 12 companies raising $11 billion

11 IPOs are likely to hit the market in 2023, added an official

Published: Tue 27 Dec 2022, 2:48 PM Last updated: Tue 27 Dec 2022, 2:49 PM

Led by the UAE, the GCC's share in the global initial public offering (IPO) has massively increased in 2022.

According to EFG Hermes, out of $91 billion (Dh334 billion) raised through IPOs worldwide, around $21 billion (Dh77 billion), or 23 per cent, were raised by GCC companies in 2022. This is a massive increase when compared to the previous year when GCC IPOs accounted for just two per cent, or $10 billion, of the global IPOs.

In 2022, as many as 12 UAE companies came to the market, raising $11 billion (Dh40.37 billion), in addition to the joint Abu Dhabi-Riyadh listing of Mena food franchisee Americana, which raised $1.8 billion.

Many Dubai entities such as the Dubai Electricity and Water Authority (Dewa), Tecom and Salik sold their shares to the investors and listed on the Dubai Financial Market as part of the government’s efforts to increase the local bourse’s market capitalisation to Dh3 trillion.

Simon Kitchen, managing director and head of strategy, EFG Hermes Research, said volatility in global financial markets has squeezed IPO activity outside the region,