With US$1.72 billion, Lulu signs the biggest I.P.O. of the year in the Gulf

U.A.E.-based Lulu Retail Holding (2023 sales of US$7.3 billion via 260 supermarkets and 24 malls) raised US$1.72 billion in an initial public offering on the Abu Dhabi Stock Exchange (ADX) on November 6, 2024. The deal attracted more than 82,000 investors and was 25 times oversubscribed, generating total demand of US$37 billion, including from local, regional and international investors. Emirates NBD Capital, HSBC Holdings, Abu Dhabi Commercial Bank and Citigroup are responsible for the listing. Based on the final offer price (of November 14), Lulu Retail’s market capitalisation should reach US$5.74 billion. By doing so, the retail giant aims to support growth and develop a store network, its private labels and digital services.

To remember: Lulu’s IPO is the largest of 2024 in the UAE and marks a 10-year record for a non-government company, according to the group. By comparison, upmarket supermarket Spinneys raised US$374 million last May with a listing on the Dubai Financial Market.