Tuesday, April 12, 2022
Gulf News - After mega-IPO, DEWA's stock breaks 20% within 1 minute on first day of trading
Dubai: The DEWA stock is up a whopping 20.16 per cent within the first minute of trading. And in less than 5 minutes, the stock is up 22.98 per cent at Dh3.03.
The stage is set for Dubai Financial Market to make its journey to a Dh3 trillion market capitalisation, with DEWA set to list after a hugely successful IPO. DEWA, whose retail offering was over-subscribed 37x, has listed its prospectus on DFM ahead of the start of trading.
Market analysts and investors are only focussed on one detail – how will the DEWA stock fare on the first day of trade? Or to be more pertinent, how high will it go. A 15-20 per cent spike is rated a certainty by most market watchers, while for DFM, the listing represents a truly historic moment.
How did recent UAE listings fare?
• ADNOC Drilling shares jumped more than 30 per cent on debut in September 2021 after a $1.1 billion (IPO, the largest ever on the Abu Dhabi stock market. The listing drew orders worth $34 billion.
• Another record-setting IPO was from Multiply Group, a subsidiary of International Holding Company (IHC). Its shares reached Dh2 per share at the end of their first day of trading on December 5, 2021, 80.2 per cent higher than their pre-listing prospectus valuation.
• The AD Ports Group stock surged 15 per cent in debut after raising $1.1 billion.
• Fertiglobe, a joint venture between ADNOC and chemicals producer OCI, rose 21 per cent above its listing price on market debut. The venture’s shares traded at about Dh3.09 shortly after the market opened, compared with the Dh2.55 offer price.Source: