After a multi-year high, the region’s IPO market came back down to earth last year. Total proceeds from public listings across the GCC declined 61% y-o-y to USD 5.1 bn in 2025, with the number of offerings also cooling to 40 from 53 the year prior, a recent report (pdf) by Kuwait Financial Center (Markaz) showed.

It was an all-Saudi show: The Kingdom accounted for a massive 79% of all IPO proceeds raised during the year (USD 4.1 bn), leaving the UAE a distant second with just 11% (USD 545 mn). Oman followed with the USD 333 mn raised from Asyad Shipping, accounting for 7% of the regional total, and Kuwait contributed the final 3% (USD 180 mn), also from a single IPO.

The private sector did the heavy lifting: Unlike previous years dominated by massive state sell-downs, corporate issuers drove the market in 2025. Private companies accounted for USD 3.9 bn — or 76% of total proceeds — across 37 listings. Government-related entities raised the remaining USD 1.2 bn through just three offerings.

Industrials claimed the top spot, raising USD 1.9 bn (37% of the total), largely on the back of flynas’ USD 1.1 bn listing on Tadawul. Real estate followed with USD 1.2 bn (23%) across seven IPOs, concentrated in Saudi Arabia with listings including Umm Al Qura and Dar Al Majed. Healthcare rounded out the top three, raising USD 508 mn (10%).

Why it matters: Investors became significantly more discerning in 2025. While some listings like Ratio Specialty Company gained 190% post-IPO, the market punished perceived overvaluation. Several new listings, including Smoh Almadi and Service Equipment Co., ended the year down 60%, and the Saudi Tadawul index itself closed the year down 12.8%.

What’s next: The pipeline for 2026 is already stacking up. The slowdown looks to be temporary, with Markaz forecasting a rebound in activity driven by stable interest rates and a roster of big-ticket listings. The pipeline includes the long-awaited Etihad Airways listing on ADX, alongside Saudi medical procurement giant NUPCO and Oman India Fertilizer Co.

** Want to go deeper into last year’s performance? Check out our capital markets year in review reports for Saudi, the UAE, and Egypt.

MARKETS THIS MORNING-

Asia-Pacific markets are firmly in the green in early trading, buoyed by Japan’s Nikkei, which is up more than 3% so far in its first trading day of the week after being closed for a holiday. The index is getting a boost from expectations that the country’s leading party will move to call snap elections next month. South Korea’s Kospi, China’s CSI 300, Hong Kong’s Hang Seng Index, and the Shanghai Index are all also trading up. Meanwhile, futures suggest a more muted open in Wall Street later today, with futures trading near the flatline.

TASI

10,745

+1.3% (YTD: +2.4%)

MSCI Tadawul 30

1,436

+1.6% (YTD: +3.5%)

NomuC

23,587

-0.1% (YTD: +1.3%)

USD : SAR (SAMA)

USD 3.75 Sell

USD 3.75 Buy

Interest rates

4.25% repo

3.75% reverse repo

EGX30

43,404

+1.2% (YTD: +3.8%)

ADX

10,008

0.0% (YTD: +0.2%)

DFM

6,268

+0.7% (YTD: +3.7%)

S&P 500

6,977

+0.2% (YTD: +1.9%)

FTSE 100

10,141

+0.2% (YTD: +2.1%)

Euro Stoxx 50

6,016

+0.3% (YTD: +3.9%)

Brent crude

USD 64.18

+0.5%

Natural gas (Nymex)

USD 3.34

-2.1%

Gold

USD 4,589

-0.6%

BTC

USD 91,366

0.0% (YTD: +4.3%)

Sukuk/bond market index

924.09

-0.2% (YTD: +0.5%)

S&P MENA Bond & Sukuk

151.71

+0.1% (YTD: -0.1%)

VIX (Volatility Index)

15.12

+4.4% (YTD: +1.1%)

THE CLOSING BELL: TADAWUL-

The TASI rose 1.3% yesterday on turnover of SAR 5.1 bn. The index is up 2.4% YTD.

In the green: SFICO (+10.0%), Naseej (+9.9%) and Dar Alarkan (+7.5%).

In the red: Almasar Alshamil (-4.4%), SPM (-2.8%) and Tasheel (-2.4%).

THE CLOSING BELL: NOMU-

The NomuC fell 0.1% yesterday on turnover of SAR 23.8 mn. The index is up 1.3% YTD.

In the green: Alhasoob (+8.6%), Mayar (+5.9%) and Saudi Top (+5.8%).

In the red: Horizon Food (-8.1%), Molan (-8.0%) and Tharwah (-7.2%).

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