No slowdown for the Gulf IPO boom: Gulf financial markets are becoming a firm fixture for global investors, with no sign of the region’s IPO boom letting up after a record 2022, reports the Financial Times. Big debuts so far in 2023 from the likes of the UAE’s AdnocGas, Presight AI, and Al Ansari Financial Services suggest the IPO pipeline is set to remain healthy in the Middle East and Africa, while Europe and the US continue to struggle, the FT says.

Major hedge funds and investment firms are putting down permanent roots in the Gulf, attracted by Dubai’s no-tax status and convenient time zone. “International investors are coming — big, proper grown-up and respected long-only asset managers in the US and Europe investing with their own people to get ready to make more investments” in the Gulf, one US investment banker told the FT.

Beyond listings of state-owned firms: Gulf IPOs have been dominated by government-owned firms — but listings of private and family-owned businesses like Al Ansari are now coming to the fore, according to Citigroup’s investment banking head Miguel Azevedo. He predicts a third wave of IPOs for “young fintech firms and tech-enabled companies” that have grown with funding from private investors.

SPEAKING OF WHICH-Two Saudi companies are mulling IPOs: Saudi First Mills is looking to make its Tadawul debut in an offering that could value the company at as much as USD 1 bn, people familiar with the matter told Bloomberg. And IT service provider Barq Systems is looking into offering a 20-30% stake on the Saudi bourse in the “coming period,” according to Al Mal.

EGX30

16,411

+3.2% (YTD: +12.4%)

USD (CBE)

Buy 30.84

Sell 30.96

USD at CIB

Buy 30.85

Sell 30.95

Interest rates CBE

16.25% deposit

17.25% lending

Tadawul

10,503

+0.3% (YTD: +0.2%)

ADX

9,456

0.0% (YTD: -7.4%)

DFM

3,401

+0.5% (YTD: +1.9%)

S&P 500

4,028

+1.4% (YTD: +4.9%)

FTSE 100

7,564

+1.1% (YTD: +1.5%)

Euro Stoxx 50

4,231

+1.5% (YTD: +11.5%)

Brent crude

USD 78.12

-0.7%

Natural gas (Nymex)

USD 1.99

-1.9%

Gold

USD 1,984.50

-0.3%

BTC

USD 28,397

+4.4% (YTD: +72.4%)

THE CLOSING BELL-

The EGX30 soared 3.2% at yesterday’s close on turnover of EGP 2.03 bn (2.5% below the 90-day average). Local investors were net buyers. The index is up 12.4% YTD.

In the green: EK Holding - EGP (+10.0%), Oriental Weavers (+8.4%) and Telecom Egypt (+7.4%).

In the red: Edita (-1.4%), Talaat Moustafa Group (-0.8%) and CIRA Education (-0.5%).

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