A new wave of IPOs requires a new way of thinking
After a good year for IPOs in the GCC, market participants anticipate a flurry of deals coming to market in 2022 and beyond. The pipeline of regional IPOs is full of good companies. Nevertheless, even great companies are not always transformed into great stocks.
Iridium's analysis of 457 listings in the GCC region between 2005 and 2021 highlights that the recent spirit of rebirth and optimism in equity capital markets disguises an alarming fact:
Two out of three GCC listings do not succeed.
This report – the first in a series exploring the science and practice of IPOs – examines the success rate of companies going and being public, demystifies some common misconceptions about winners and losers, and addresses some critical elements that may improve a company's odds of getting a successful public offering underway.