The three latest UAE initial public offerings (IPOs) have attracted a new market capitalisation of nearly Dh21.3 billion since the beginning of this year, according to official data.
The new listings contributed to increasing market liquidity, enhancing its investment attractiveness, and solidifying the financial markets’ position in the country. The growth witnessed by the country’s stock markets keeps the UAE in line with its target of doubling its market value to around Dh6 trillion in the coming years.
Alef Education Holding plc led the way with a market capitalisation reaching around Dh9.45 billion after offering 1.4 billion shares (20% of the company’s shares) on the Abu Dhabi Securities Exchange (ADX).
The company’s IPO raised Dh1.89 billion after exceeding the target subscription value by 39 times, even after increasing the individual investor allocation from 8% to 10%.
Meanwhile, Parkin, Dubai’s operator of paid public parking, achieved a market capitalisation of Dh6.3 billion upon its listing on the Dubai Financial Market (DFM), the first in 2024.
Parkin’s IPO saw total subscription requests reaching approximately Dh259 billion, exceeding the subscription value nearly 165 times.
Finally, the third IPO of the year so far in the UAE was that of supermarket operator Spinneys. The firm’s market capitalisation reached Dh5.5 billion upon its listing on the DFM in May, with total subscription requests reaching approximately Dh71 billion.
The total subscription requests exceeded the offering size by 64 times for all investor segments combined (excluding the anchor investor), marking the highest demand and coverage ratio for non-governmental Initial Public Offerings on the DFM in recent years.
