Market Insights Financial Corporate Finance

Initial Public Offerings - Kuwait

Kuwait

The transaction value in the Initial Public Offerings market is projected to reach US$59.95m in 2024.
It is expected to show an annual growth rate (CAGR 2024-2025) of -3.04% resulting in a projected total amount of US$58.13m by 2025.
The average transaction value in the Initial Public Offerings market amounts to US$15.77m in 2024.
From a global comparison perspective, it is shown that the highest transaction value is reached in China (US$63,330.00m in 2024).

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Currency

Analyst Opinion

The Initial Public Offerings market in Kuwait has been witnessing a significant growth trajectory in recent years.Customer preferences in Kuwait are shifting towards investing in local companies through IPOs, as investors seek opportunities for high returns in a rapidly developing market.

Trends in the market indicate a rise in the number of companies opting for IPOs in Kuwait, driven by the government's push to diversify the economy and attract foreign investments. This trend is further fueled by the increasing participation of retail investors in the IPO market, looking to capitalize on the potential gains.Local special circumstances, such as the government's privatization initiatives and the focus on developing the capital market infrastructure, are creating a conducive environment for companies to go public in Kuwait.

Additionally, the regulatory reforms aimed at enhancing transparency and governance standards are instilling confidence in both local and foreign investors.Underlying macroeconomic factors, including the stable economic growth, favorable business environment, and strategic location as a gateway to the Middle East, are further bolstering the attractiveness of the IPO market in Kuwait. The growing interest from institutional investors, coupled with the liquidity in the market, is providing a positive outlook for companies considering going public.

Methodology

Data coverage:

Figures are based on the revenue generated by the Investment Banking market, as well as the transaction value, the number of transactions, and the average transactions size of the Mergers and Acquisitions (M&As) and Initial Public Offerings (IPOs) markets.

Modeling approach / Market size:

Market sizes are determined by a bottom-up approach and are based on a specific rationale for each market. As a basis for evaluating markets, we use market research and analysis, as well as data from annual financial reports. Furthermore, we use relevant key market indicators and data from country-specific associations and national data bureaus, such as GDP, wealth per capita, and total investment (% of GDP). This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. In this market, we use the HOLT-damped Trend method to forecast future development. The main drivers are GDP per capita and total investment (% of GDP).

Additional Notes:

The market is updated twice per year in the event that market dynamics change.