Reported 6 months ago
Investors have shown significant interest in Saudi IPOs, with four companies collectively receiving 659 billion riyals ($176 billion) in orders for their initial public offerings. This surge in demand, which surpasses the orders for Saudi Aramco's 2019 issue, is impacting the kingdom's stock market. The Tadawul All Share Index has fallen around 8% from its peak due to investors holding onto cash for these offerings. Institutional investors have placed large orders for recent IPOs, with factors like hedge fund inflows and leverage contributing to the high demand. Additionally, the Saudi regulator's efforts to curb oversubscription seem to have limited impact as demand continues to rise.
Source: YAHOO