Dubai IPOs raised $9.4bn in the past three years

Companies in Dubai raised Dh34.5 billion ($9.4 billion) through selling shares on the Dubai bourse in the past three years, amid strong investor interest.

Aggregate investor demand for those listings reached more than Dh1 trillion, according to the Dubai Securities and Exchange Higher Committee.

The continued initial public offering activity in that period has helped the Dubai Financial Market maintain a robust growth momentum, pushing its general index to become the fifth-best performer globally last year, the Dubai Media Office said yesterday, citing a briefing by the committee.

The DFM General Index delivered “exceptional performance” last year, crossing the 4,000-point mark for the first time in eight years, the committee briefed Sheikh Maktoum bin Mohammed, Deputy Prime Minister, Minister of Finance and First Deputy Ruler of Dubai.

“The accomplishments of the Securities and Exchange Higher Committee in advancing capital markets have played a crucial role in fostering growth and consolidating Dubai’s leading position on the global financial stage, aligning with our comprehensive vision for the emirate,” said Sheikh Maktoum, also chairman of the committee.

A significant increase in trading activities, a rise in capital inflows and an influx of investors drove the record performance of the emirate’s bourse.

The DFM, which surpassed major global markets last year, has attracted 230,000 new investors since 2022.

This improved its capitalisation to Dh688 billion at the end of last year, up from Dh582 billion, recorded a year earlier, said the media office.

The DFM, like its peers in the six-member economic bloc of GCC, has performed well over the past two years.

This was driven by continued momentum in the emirate’s economy, together with public listings by private and state-owned companies.

Companies in the wider region raised $10.79 billion in IPOs last year, investment strategy and research company Kamco data showed.