• Saudi Arabia's Dar Al Majid Real Estate Company achieved the highest subscription proceeds in the region during the third quarter, amounting to US$336 million.
• Saudi Arabia led the listing activity with eight IPOs, while Egypt and Morocco also saw listings during the third quarter of the year.
• The momentum for initial public offerings (IPOs) continues strongly in the Middle East and North Africa region, with 19 companies and funds preparing to list on the region's stock exchanges.

Dubai, UAE : Ernst & Young’s ( EY ) latest report on IPO activity in the Middle East and North Africa (MENA) region for the third quarter of 2025 indicates that the region’s markets saw 11 IPOs with total proceeds of US$700 million, reflecting healthy activity and strong investor interest. The number of IPOs increased by 120% compared to the same quarter last year, driven by activity in the mid-market segment.

Regarding the performance of Middle East and North Africa stock exchanges, the MSCI Emerging Markets Index recorded gains of 25%, followed closely by the EGX 30 Index and the Kuwait Stock Exchange’s Premier Market Index, which recorded growth of 23.3% and 19.6% respectively.

Commenting on the report, Brad Watson, EY-Parthenon's MENA Head, said: "In today's evolving market dynamics, the third quarter's performance reflects the growing depth and maturity of MENA capital markets, underpinned by a steady pace of listings across multiple sectors and geographies. Companies are increasingly adopting a market-timed strategy, carefully assessing investor sentiment and macroeconomic conditions before going public. The region is well-positioned to achieve sustainable long-term growth and attract broader international participation, thanks to its robust regulatory frameworks and a pipeline of IPOs in the final quarter of the year."

Saudi Arabia sees largest IPO in the third quarter in the Middle East and North Africa region

In the third quarter of 2025, Saudi Arabia maintained its position as the most active IPO market in the region, witnessing eight initial public offerings (IPOs) with total proceeds of US$637 million. The Dar Al Majid Real Estate IPO on the Tadawul Main Market led the quarter in terms of proceeds, raising US$336 million and accounting for 45.5% of the total IPO proceeds recorded in the MENA region during the third quarter of 2025. This was followed by the Dar Al Tasweeq Trading Group IPO, with proceeds of US$109 million, and the Sports Clubs Company IPO, with proceeds of US$69 million, both on the Tadawul Main Market. The remaining IPOs were recorded on the Nomu Parallel Market, collectively raising US$124.1 million. The proceeds from the Tadawul Main Market IPOs were distributed across a range of sectors, with real estate accounting for 55%. The parallel market (Nomu) also continued to attract diverse issuers from sectors such as retail, healthcare and industrial services.

Outside the GCC, Egypt saw the initial public offerings of Bonyan for Development and Trade and the National Printing Company, while Morocco witnessed the listing of Visine, a company specializing in medical equipment. This growing activity underscores the increasing attractiveness of the Middle East and North Africa region to regional and global investors.

Gregory Hughes, Head of IPO and Transaction Services for the Middle East and North Africa at EY, said: “The IPO market saw strong activity in the third quarter of 2025, with Saudi Arabia maintaining its position as the main driver of IPOs in the region. With lower oil prices, we continue to see economic diversification based on non-oil revenues, and the focus of Saudi IPOs has shifted from the healthcare and mobility sectors in the second quarter of 2025 to the real estate, hospitality, construction, and retail sectors. In the fourth quarter of 2025, we anticipate a series of successful IPOs, highlighting the region’s position as an important hub for capital markets activity.”

Continued strength of listing plans in the Middle East and North Africa region during the fourth quarter and beyond

The outlook for initial public offerings (IPOs) in the Middle East and North Africa (MENA) region remains strong, with 19 companies and funds from various sectors planning to list their shares on regional stock exchanges. Saudi Arabia leads the way in anticipated IPO activity, with 13 companies, including Al Masar Al Shamel Education Company and Al Romansiah Company, having received approval from the Capital Market Authority. In the United Arab Emirates, Alec Holding PJSC was successfully listed on the Dubai Financial Market (DFM) on October 15, 2025.

In non-Gulf countries, Diar Dzair of Algeria and West Papier et Carton S.A. of Morocco have announced their intention to list, pending regulatory approvals. This trend is supported by continued policy momentum, diversified market participation, and a growing focus on integrating environmental, social, and governance (ESG) considerations. These factors continue to solidify the region's position as a leading destination for capital formation and investment.

The organizational landscape is witnessing positive transformations.

It is worth noting that regulatory reforms in the Middle East and North Africa region are progressing in tandem with the maturing of regional markets. In the United Arab Emirates, updated governance rules now allow for the combination of the chairmanship and chief executive roles under specific conditions, while the Saudi Arabian Capital Market Authority has begun consultations on proposed amendments to market-making regulations and foreign ownership limits. These steps aim to enhance liquidity, transparency, and access to capital.

Ernst & Young | Building a Better World of Work

Ernst & Young works to build a better world of work by creating new value for customers, employees, society and the planet, and building trust in financial markets.

Ernst & Young teams help clients build the future with confidence, delivering solutions to today's and tomorrow's most pressing issues, thanks to their data-driven, AI-powered, and advanced technology-based solutions.

Our teams operate across a full range of services in assurance, consulting, tax, strategy, and transactions. They deliver services in over 150 countries and territories, leveraging their deep sectoral insights, multidisciplinary global network, and diverse partners.

We are all working to build the future with confidence.

EY refers to the global organization or to one of the member firms of Ernst & Young Global Limited, where each firm is a separate legal entity. As a UK limited partnership, Ernst & Young Global Limited does not provide services to clients. Information about how EY collects and uses personal data, and the rights individuals have under data protection law, can be found at ey.com/privacy. The member firms of Ernst & Young Global Limited do not engage in legal practice where prohibited by local law. For more information about the organization, please visit ey.com.

EY began operating in the Middle East and North Africa region in 1923. For over 100 years, the firm has grown to a workforce of more than 8,500 employees across 27 offices in 14 countries, united by shared values and a steadfast commitment to the highest standards of quality. We continue to develop outstanding business leaders who deliver exceptional service to our clients and contribute to the communities in which we operate. We are proud of our achievements over the past 90 years, reaffirming EY's leading position as the largest and most established professional services firm in the region .

This document is for general purposes only and is not intended to be used as official advice for accounting, tax, legal, or other professional matters. For any questions, please consult your professional advisors .

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