The Abu Dhabi Securities Exchange (ADX) has posted a double-digit growth in its market cap following a series of international public offerings (IPOs) and listings by some large businesses in the UAE.
The market capitalisation of the local bourse jumped 25 percent year-to-date to close to 2 trillion dirhams ($545 billion), bolstered by more than $5 billion in share offerings and listings over the past one year, including Abu Dhabi Ports, Fertiglobe, ADNOC Driling, Alpha Dhabi and Multiply Group.
Last week, Borouge, a joint venture between Abu Dhabi National Oil Company (ADNOC) and Borealis, made its debut on the ADX after raising $2 billion in one of the largest IPOs on the UAE capital’s stock market to date.
In a statement on Monday, ADX said it is looking to further boost portfolio investment into the country’s capital markets by sending a delegation of 25 CEOs, CFOs and other senior executives to the United Kingdom next week.
The representatives from Abu Dhabi-listed companies, including ADNOC Distribution, ADNOC Drilling, Abu Dhabi Islamic Bank (ADIB), Agthia, Aldar Properties, Al Yah Satellite Communications Company (Yahsat), Emirates Telecommunication Group Company (Etisalat), First Abu Dhabi Bank (FAB) and Fertiglobe, will meet with major institutional investors in London on June 9-10.
ADX said it aims to showcase the progress of its strategy to significantly increase liquidity and market capitalisation.
“ADX is a core component of the major transformation underway in the region, which is creating a vibrant, diversified and sustainable economy,” noted Al Dhaheri.
“Access to long-term global capital is central to this ambition and it is therefore important that we continue to nurture relationships and informational flows with international investors.”
Over the past 12 months, the bourse has made major achievements, including the launch of a derivatives market and exchange-traded funds. It has also introduced a regulatory framework for special purpose acquisition companies.
(Reporting by Cleofe Maceda; editing by Seban Scaria)