Crashing global stock markets put a pause on Gulf IPOs

Crashing global stock markets are likely to delay new listings in the Gulf, reversing expectations for another banner year for IPOs. The region ranked among the top five globally in 2024 for stock market debuts — raising $12.9 billion.

More than 40 companies were expected to go public this year, according to KAMCO Investment Co., a Kuwait-based asset manager. But CEO of Saudi consultancy Elevare360 and Semafor columnist Wael Mahdi said activity may not resume until the fourth quarter or early 2026. That parallels IPO delays elsewhere, with multiple finance and tech firms putting off their public debuts in the US, too.

Investors in the Gulf are still eyeing potential airline IPOs, including Saudi budget carrier Flynas and Abu Dhabi’s flagship Etihad. Listed airlines remain scarce in the region, so the companies are likely to attract attention — if they come to market — because the Middle East was the only region globally where airline passenger yields rose last year, driven by strong demand for premium long-haul travel.