Apr 13, 2022 - Economy & Business

Dubai makes major IPO push

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Illustration: Gabriella Turrisi/Axios

Dubai Electricity & Water Authority, a state-owned utility, raised $6.1 billion in its local IPO, and then saw its shares rise by as much as 20% in aftermarket trading.

Why it matters: Dubai has long sought to be considered a major global bourse, or at least competitive with regional rivals in Saudi Arabia and Abu Dhabi, and this IPO could be the tipping point.

Details: DEWA's float is 18%, with the IPO size more than triple the Dubai government's original plans.

The bottom line: "DEWA's IPO, which drew $86 billion in orders, is a watershed moment for Dubai, after the city missed out on a listing boom that swept through the Middle East last year. Investors have flocked to share sales in the Gulf, seen as a relative safe haven among emerging markets after Russia invaded Ukraine." — Julia Fioretti, Bloomberg

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