Brief
Saudi IPO market stalls as investor appetite wanes
Only three companies have listed so far in 2026, raising $144 million, prompting regulator reforms.
By Felo News Desk · Published
Saudi Arabia’s primary stock exchange, Tadawul, and its parallel market Nomu have seen only three IPOs this year – Dar Al Balad, Saleh Abdulaziz Al Rashed and MSGA – raising a combined $144 million, according to Fortune.
The figure represents just 4% of the $3.53 billion raised during the same eight‑month period in 2025, when 25 firms went public. By contrast, Saudi companies raised $3.7 billion through share sales last year, more than the rest of the Gulf combined.
Fortune notes that the slowdown stems from a pricing standoff: owners are reluctant to accept market‑determined valuations, while investors balk at higher prices after a year of losses on new listings. Bloomberg data shows only four of the 17 companies that listed since 2025 are trading above their issue price.
Three planned listings – Mutlaq Al Ghowairi, Arabian Dyar and Kesay Clinics – have been postponed, and extensions for Alandalus Educational and Alromansiah have expired. The Capital Market Authority (CMA) has proposed reforms, including triggering underwriting commitments when book‑building begins, to revive activity.
Key facts
- Only three companies have listed on Tadawul and Nomu in 2026, raising $144 million. (fortune.com)
- The $144 million equals 4% of the $3.53 billion raised in the same period in 2025. (fortune.com)
- Four of 17 companies that listed since 2025 are trading above their issue price. (fortune.com)
- The CMA is proposing that underwriting commitments start at the book‑building stage. (fortune.com)
Sources
- [1] fortune.com — originally reported as “Saudi Arabia Rethinks IPO Rules as Investor Appetite Weakens”
