The GCC region had seen 40 initial public offerings (IPOs) in 2025 that raised a total of $5.1 billion in proceeds, marking a 61% decrease compared to the previous year, where issuers raised $13.2 billion through 53 offerings, according to Kuwait Financial Centre (Markaz).
Saudi Arabia led the region in terms of IPO proceeds, raising $4.1 billion which constituted 79% of the total GCC IPO proceeds during the year.
Saudi Exchange (Tadawul) saw 13 IPOs on its Main Market amounting to a total of $3.7 billion and 23 IPOs on its Parallel Market (Nomu) raising a total of $336 million, stated Markaz in its research report titled “Initial Public Offerings (IPO) in the GCC markets.”
The corporate IPOs raised $3.9 billion, or 76% of the total GCC IPO proceeds during the year, through 37 offerings. While IPOs offered by government related entities only accounted for 24%, amounting to $1.2 billion through 3 offerings, it added.
Regionwise, the UAE came second with $544 million in proceeds through two IPOs. The Abu Dhabi Securities Exchange (ADX) raised $163 million through Alpha Data’s IPO, while Dubai Financial Market (DFM) raised a total of $381 million through Alec Holdings IPO.
Oman raised $333 million during the year, or 7% of the total GCC IPO proceeds through Asyad Shipping Company IPO on the Muscat Securities Market (MSM).
While Kuwait saw the IPO of Action Energy Company during the last quarter of the year. The offering raised a total of $180 million constituting 4% of the total GCC IPO proceeds for the year.
Industrials sector shines
The Industrials sector raised a total of $1.9 billion, accounting for nearly 37% of the total proceeds during 2025 with the largest contribution coming from Saudi Arabia’s Flynas with a value of $1.1 billion. This was followed by the real estate sector with $1.2 billion, or 23% of the total proceeds, from 7 IPOs including Umm Al Qura for Development and Construction and Dar Al Majed Real Estate Company.
The healthcare sector raised a total of $508 million, constituting 10% of the total proceeds, from 3 IPOs from SMC Hospitals in the Main Market of Tadawul and Basma Adeem and Wajd Life Trading Company in the Nomu Market of Tadawul.
Moreover, the Consumer Discretionary sector saw $479 million in proceeds, constituting 9% of the total proceeds, through 10 IPOs all in Saudi Arabia while the Financial services sector saw $400 million from Derayah Financial Company’s IPO on Tadawul, constituting 8% of the total GCC IPO proceeds during the year.
Strong post-listing liquidity
The top IPO gainers of 2025 benefited from attractive offer pricing, strong post-listing liquidity, and exposure to sectors with clear growth or defensive characteristics.
Listings on Tadawul, across both the Main Market and Nomu, saw performance supported by broad investor participation and sustained demand. The largest gainer was Ratio Specialty Company listed on Nomu in March 2025 with shares that rose by 190% after its offering price at SAR 10.
On the other hand, some IPOs have recorded negative performance being weighed down by overvaluation, limited liquidity, and exposure to low-growth or margin-pressured sectors.-TradeArabia News Service
