Stock prices of Gulf companies surge after IPOs

Stock prices of Gulf companies surge after IPOs

Most Gulf companies that completed initial public offerings (IPOs) recently have seen their market capitalisation soar, with issuers pricing flotations adroitly to bolster investor demand for their stocks after listing. From the start of 2023 there have been 20 Gulf IPOs that raised at least $100 million. Combined, these sold $11.2 billion of shares. As […]

18 of 20 companies show rise

Shares worth $11.2bn sold

Adnoc Gas was biggest IPO

Most Gulf companies that completed initial public offerings (IPOs) recently have seen their market capitalisation soar, with issuers pricing flotations adroitly to bolster investor demand for their stocks after listing.

From the start of 2023 there have been 20 Gulf IPOs that raised at least $100 million. Combined, these sold $11.2 billion of shares.

As of May 23, 2024 the share prices of 18 of these companies have increased since listing, with one flat and another – Investcorp Capital – down 11 percent.

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These gains are “related to the pricing that issuers set in order to leave some value on the table for secondary market investors,” said Faisal Hasan, chief investment officer at Dubai’s Al Mal Capital.

“The IPOs have been from good companies either backed by the