Despite a quiet start to the year for public listings, the Saudi stock market is showing renewed signs of activity with at least four major companies reportedly preparing for initial public offerings (IPOs) on the Tadawul. The potential listings span critical sectors including energy, manufacturing, and telecommunications, signaling a potential revival of capital market activity in the Kingdom.
Leading the potential wave is AlKhorayef Group’s petroleum division, AlKhorayef Petroleum, which has reportedly engaged a strong roster of financial advisors including Citigroup, JPMorgan Chase, and BSF Capital for a possible share sale.
A Diverse Pipeline of Listings
The group of companies exploring a public offering reflects the diversity of the Saudi economy. ArcelorMittal Tubular Products Jubail, a significant joint venture between the Public Investment Fund (PIF) and global steel giant ArcelorMittal, is said to be working with Moelis & Co on its listing plans and is expected to appoint more banks soon.
In the telecommunications sector, Etihad Salam Telecom Company is also preparing for an IPO, with BSF Capital arranging the transaction. Meanwhile, Mutlaq Al Ghowairi Contracting is exploring a substantial offering that could value the company as high as SAR 15 billion ($4 billion), according to Bloomberg reports.
While these moves indicate strong momentum, sources familiar with the matter have clarified that no final decisions have been made on any of the transactions.
Navigating a Challenging Market
This potential influx of IPOs comes after a challenging period for the Saudi Exchange. In 2025, the Tadawul All-Share Index was the region’s worst-performing bourse, falling by nearly 13 percent. While companies raised a total of $4.2 billion in the Kingdom last year, only two of the ten largest IPOs are currently trading above their offer price.
Analysts have suggested that 2026 may see fewer IPOs overall, but anticipate that the PIF will play a more active and supportive role in the market. The preparations by a PIF-backed joint venture like ArcelorMittal Tubular Products Jubail may be an early indicator of this trend.
About AlKhorayef Group
AlKhorayef Group is a Saudi-based, diversified conglomerate with a history spanning over 60 years. Its operations cover a wide range of sectors, including machinery systems, oil and gas services, contracting, and printing and paper. The group maintains a significant international presence, operating in more than 40 countries worldwide.
Source: AGBI
