A trading platform has expanded its offerings by incorporating stocks from the Abu Dhabi Securities Exchange (ADX), following an agreement made in 2023 aimed at broadening investor access to companies listed in the UAE. This addition includes more than 30 companies from the ADX, which span various sectors such as energy, real estate, banking, technology, and healthcare. Notably, the overall market capitalization of the exchange exceeds $700 billion.
In 2024, the ADX reached impressive IPO figures, totaling $3.35 billion. The exchange now ranks as the seventh-largest emerging market exchange globally, boasting a market capitalization of $799 billion. Its IPO proceeds place it among the top five exchanges worldwide, contributing to 27% of IPO funding in the Middle East and 54% within the UAE itself. The number of listed securities on the exchange has grown to 187, with 28 new listings enriching the landscape.
The initial assortment of stocks introduced to the trading platform accounts for approximately $713 billion in market capitalization, which represents about 88% of ADX’s total market cap, noted as $818 billion.
The derivatives market on ADX has demonstrated remarkable growth, with trading value reaching AED 342 billion—up 7% from the previous year. Foreign investments also saw a surge, climbing to AED 24 billion, with foreign investors now representing nearly 40% of the trading activity. Their transactions totaled AED 262 billion.
Institutional investors played a significant role in the trading landscape, contributing 80% of the total trade value. Additionally, the derivatives sector saw a staggering 154% increase in trading volumes, underscoring the exchange’s robust trading environment. The ADX ranks among the world’s top 20 exchanges, solidifying its position as the second-largest exchange in the Middle East.
In light of these developments, the trading platform is concurrently preparing for a planned IPO by submitting a confidential draft Registration Statement to the US Securities and Exchange Commission (SEC). Details regarding the number of shares and their pricing have not been revealed yet. The progression of the IPO will depend on the SEC’s review and prevailing market conditions, although no specific timeline has been disclosed for completion.
The trading platform has emphasized its intention to facilitate portfolio diversification for global users while also empowering local investors to engage with companies they are familiar with. This significant development not only strengthens market accessibility but also enhances the investment landscape for both local and international investors interested in UAE-listed companies.