7 initial public offerings in the Emirates collecting orders exceeding 627 billion dirhams during 2024

The local financial markets witnessed about seven initial offerings for new companies, attracting record orders amounting to about 627.005 billion dirhams during the current year 2024, which reflects great confidence in the strong economic approach that the UAE is adopting in its major companies and institutions.

According to statistics prepared by Emirates Today, based on data from the Dubai Financial Market and the Abu Dhabi Securities Market, the new offerings raised approximately 22.76 billion dirhams amid a large and record turnout by investors, sovereign funds and global investment portfolios, while the market value of the companies reached The new value is more than 95.46 billion dirhams.

The most recent initial public offering in the local financial markets was the offering of Talabat Holding PLC, in the largest initial public offering in the UAE during the current year, after proceeds amounted to about 7.5 billion dirhams, from offering 20% ​​of its shares on the Dubai Financial Market. The subscription value exceeded the target value by 10 times thanks to the huge demand from international, regional and local investors. The shares of Talabat, a subsidiary of Delivery Hero, will be traded on the Dubai Financial Market starting from December 10.

The market value of Talabat Company was about 37.3 billion dirhams, based on the subscription price, which was 1.6 dirhams per share. Talabat’s offering also set a record as the largest initial public offering for a technology company globally in 2024, the largest initial public offering in the Gulf Cooperation Council countries for 2024, and the first ever initial public offering for a company operating in the technology sector on the Dubai Financial Market. The shares of Talabat Holding PLC are scheduled to be included in the FTSE Russell indices tomorrow (December 23).

The offering of “Lulu Retail Holding” succeeded in becoming the second largest initial public offering in the Emirates during the current year, after the proceeds amounted to about 6.32 billion dirhams. The offering also witnessed a total demand from local, regional and international investors exceeding 135 billion dirhams, which represents a number A record for a non-governmental initial public offering in the UAE over the past 10 years.

The total number of subscription requests for the “Spence” offering exceeded 64 times for all investor segments combined, which is the highest level of demand and the highest percentage of coverage among non-governmental initial public offerings on the Dubai Financial Market in recent years, while the size of the “Parkin” offering reached about 749.7%. One million ordinary shares, equivalent to 24.99% of the total issued shares, representing the highest level of subscription ever on the Dubai Financial Market.

“Parkin” was listed on the Dubai Financial Market, as the first listing on the market this year, and the offering received exceptional interest from international and regional investment institutions, and from individual investors in the UAE, as the total subscription requests for “Parkin” shares exceeded about 259 billion dirhams. With the value of subscription applications exceeding approximately 165 times.

Alef Education Holding Company succeeded in offering and starting trading its shares on the Abu Dhabi Securities Market last June, as the first initial public offering witnessed by the market this year, after it raised revenues of about 1.89 billion dirhams, while the offering witnessed an exceptional level of demand from local and regional investors. And internationally, bringing the total demand for the IPO to exceed 74 billion dirhams.

The public offering received strong demand from investors, as subscription exceeded the target value with coverage amounting to 39 times, even after increasing the percentage of shares allocated to the individual segment from 8% to 10%.

NMDC Energy completed its initial public offering on the Abu Dhabi market last September, after demand for available shares exceeded 31.3 times. The initial public offering witnessed strong demand and received subscription requests from investors that far exceeded the supply, with The total value of applications submitted reached 88 billion dirhams.

The company’s 1.15 billion shares, representing 23% of the total value of the company’s capital, were offered at a price of 2.8 dirhams per share.

Last October, ADNH Catering Company announced the successful completion of building the order book and the public offering process for its initial public offering on the Abu Dhabi Securities Market, after 900 million shares were offered, representing 40% of the company’s total issued capital. The total proceeds from the offering amounted to about 864 million dirhams, meaning that the group’s market value upon listing amounted to 2.16 billion dirhams.

Listings continue in the local markets, after they demonstrated their flexibility in the face of global fluctuations, following the record successes of initial offerings in the past three years, for giant companies such as “Dewa”, “Alpha Dhabi”, “ADNOC Drilling”, “Multiplay”, “Americana”, and “Alpha Dhabi”. Abu Dhabi Ports, TECOM, SALIC, Bayanat and Empower.

The attractiveness of local financial markets to investors has increased over the past years, with the support of economic policy and the development of the legislative structure, in accordance with international best practices, and the conclusion of comprehensive economic partnerships that have strengthened the UAE’s position as a global financial, commercial and investment center, to become one of the most important economic centers in the international system.

. The new offerings raised 22.76 billion dirhams, amid record turnout from investors, sovereign funds and global investment portfolios.