UAE And Saudi Arabia Set The Benchmark For The GCC IPO Market, Arthur D. Little Finds

(MENAFN- Mid-East Info)

The GCC recorded its highest-ever IPO activity in 2024, with 53 listings raising USD 12.9 billion

The UAE and Saudi Arabia led IPO activity between 2019 and 2025, supported by large-scale listings and diversified sector participation

IPO volumes remained resilient in 2025, with 45 listings, despite a shift toward smaller and mid-sized offerings. As a result, total proceeds declined, indicating a more selective capital-raising environment

Major UAE listings featured among the largest IPO transactions in recent GCC history

The UAE and KSA are setting the benchmark for IPO readiness across the GCC, as rising competition and investor scrutiny place greater emphasis on clear, compelling equity stories

** Dubai, UAE** ** – Feb 11, 2026:** The UAE and Saudi Arabia have emerged as the clear leaders of the GCC IPO market, setting the benchmark for scale, sophistication, and investor expectations across the region, according to a new Viewpoint by Arthur D. Little. The analysis finds that the sustained dominance of these two markets between 2019 and 2025 is reshaping how companies across the GCC prepare for public listings and compete for investor capital.

IPO activity across the GCC has expanded significantly over the past six years, reflecting the region’s rapid evolution as a global investment destination. The Viewpoint highlights that the UAE and Saudi Arabia consistently led IPO activity throughout the 2019–2025 period, driven by a combination of large-scale listings, diversified sector participation, and capital market reforms that increased market depth and accessibility for investors. As illustrated in Figures 1 and 2 of the Viewpoint, IPO activity in the UAE and Saudi Arabia has consistently outpaced other GCC markets between 2019 and 2025.

In 2024, the GCC reached a historic milestone, recording its highest-ever level of IPO activity. A total of 53 listings raised USD 12.9 billion in proceeds, underscoring strong investor confidence and sustained momentum across regional exchanges. The UAE played a prominent role during the year, with major transactions contributing meaningfully to overall proceeds and reinforcing the country’s position as a central pillar of the GCC’s IPO ecosystem.

The Viewpoint notes that several of the largest IPO transactions in recent GCC history were associated with UAE-based listings, highlighting the scale and maturity of the country’s capital markets. These large-scale offerings, alongside diversified listings across energy, technology, consumer, and industrial sectors, have helped establish the UAE as a benchmark market for IPO execution and investor engagement in the region.

While overall IPO activity remained strong in 2025, with 45 listings across the GCC, the market showed clear signs of evolution. The analysis points to a shift toward smaller and mid-sized offerings, particularly in the second half of the year, resulting in lower total proceeds compared to 2024. This shift reflects a maturing market environment in which competition for capital has intensified, especially on UAE and Saudi exchanges, and where differentiation has become increasingly critical.

According to Arthur D. Little, the leadership of the UAE and Saudi Arabia extends beyond volume and value. Regulatory modernization, reforms to foreign ownership rules, and stronger governance and disclosure requirements have raised investor expectations in both markets. As a result, companies listing in the UAE and KSA are being assessed against higher standards of transparency, strategic clarity, and long-term value creation, effectively setting the benchmark for IPO readiness across the wider GCC.

“The UAE and Saudi Arabia have become the reference markets for IPOs in the GCC, not just in terms of activity, but in how capital markets function and how investors assess risk and value,” said ** Dhiraj Joshi, Partner, Arthur D. Little**.“Their scale, regulatory maturity, and depth of investor participation are shaping expectations across the region and influencing how IPOs are evaluated well beyond national borders.”

The Viewpoint also highlights the growing influence of institutional investors, including sovereign wealth funds and pension funds, in shaping market discipline and liquidity. Their participation has reinforced investor scrutiny around management quality, execution capability, and the strategic use of IPO proceeds, particularly in the UAE and Saudi Arabia, where investor expectations are now closely aligned with international capital market standards.

“Companies listing in the UAE and Saudi Arabia are operating in a far more competitive and transparent environment,” said ** Martynas Vaikasas, Principal, Arthur D. Little**.“That environment is setting a clear benchmark for the rest of the GCC, where IPO success increasingly depends on a compelling equity story supported by a credible strategy and disciplined use of capital.”

The Viewpoint concludes that as the UAE and Saudi Arabia continue to lead IPO activity in the GCC, their markets are shaping the future trajectory of public listings across the region. Companies that align strong financial fundamentals with strategic clarity, robust governance, and credible long-term narratives are best positioned to attract investor confidence and achieve sustainable performance in an increasingly competitive IPO landscape.

For the full viewpoint, click here.

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