The MENA IPO market has made a strong start in 2025, with 14 initial public offerings (IPOs) raising a total of $2.4 billion in the first quarter. This marks an increase from 10 IPOs during the same period in 2024, with proceeds surging by 106 percent compared to the previous year.

According to EY’s latest MENA IPO report, Saudi Arabia’s Umm Al Qura for Development & Construction topped the quarter in terms of proceeds, contributing 22 percent of the total IPO funds. Almoosa Health followed closely with 19 percent. Both companies are listed on the Tadawul Main Market. Gregory Hughes, EY-Parthenon MENA IPO Leader, noted that increased demand for MENA listings has spurred enhancements in market infrastructure, governance standards, and a focus on transparency.

Saudi Arabia dominated the IPO activity in the MENA region during Q1 2025, accounting for 12 out of the 14 listings. The Tadawul Main Market hosted five IPOs that raised a total of $1.8 billion, while seven IPOs on the Nomu parallel market generated $69 million. The company with the highest proceeds was Umm Al Qura for Development & Construction, which raised $523 million, followed by Almoosa Health at $450 million and Derayah Financial at $400 million, all listed on the Tadawul Main Market.

The funds raised from IPOs in Saudi Arabia came from various sectors, with real estate management contributing the most at 28 percent. Healthcare equipment and services accounted for 24 percent, while financial services and consumer discretionary distribution and retail contributed 21 percent and 17 percent, respectively.

In addition, the Abu Dhabi Securities Exchange (ADX) recorded one listing from the software and IT services sector, Alpha Data PJSC, which raised $163 million in Q1 2025. Oman’s Muscat Stock Exchange (MSX) also experienced one IPO, with Asyad Shipping Co SAOG raising $333 million. The quarter also saw the direct listing of Twareat Medical Care Co. on the Tadawul Nomu Parallel Market.

Looking ahead, the outlook for MENA IPOs in 2025 remains optimistic, with 21 companies planning to list on MENA exchanges across multiple sectors. Saudi Arabia continues to lead among GCC countries with 17 companies receiving approval from the Capital Market Authority (CMA). In the UAE, three companies have announced their intentions to go public, while Egypt has confirmed one IPO. Hughes suggested that the technology sector, including online retail, FinTech, foodtech, and classifieds, could see a rise in IPOs this year.