ADX, Eureeca join forces to expand global investor access to IPOs

Image courtesy: WAM

Abu Dhabi Securities Exchange (ADX) has partnered with Eureeca, a global investment platform matching individual and institutional investors with growth and pre-IPO companies, to bolster accessibility to initial public offerings (IPOs).

The initiative is expected to tap into the growing interest from regional and global retail investors, and high net-worth individuals (HNWIs).

The collaboration seeks to advance investors’ access to IPOs and enable a more efficient process for international investors.

It leverages Eureeca’s multi-regulated status and international investor base, giving retail and HNWIs the opportunity to participate in Abu Dhabi IPOs while positioning the bourse on the global map.

“By leveraging Eureeca’s advanced technological capabilities, we believe this new initiative, will significantly transform IPO accessibility and provide a simpler investment journey for a diverse range of investors who are looking to be part of ADX’s growth,” said Abdulla Salem Al Nuaimi, the CEO of ADX.

ADX’s market capitalisation rose by 17 per cent to reach $817bn (Dhs3tn) in 2023 as the number of investors soared 59 per cent year-on-year. Meanwhile, foreign ownership in ADX-listed companies increased by 35 per cent during the same period under review.

ADX bolsters bilateral ties

Meanwhile, the partnership between the ADX and Eureeca comes months after the pact between the Abu Dhabi bourse and Shenzhen Stock Exchange to promote cross-border investment and listings.

Last December, the exchange signed an agreement with the Central Asian Stock Exchange for the inclusion of the Tajikistani exchange as the fifth member of the Tabadul Digital Exchange Hub.

The partnerships are part of ADX’s broader strategy to bolster bilateral ties with leading global financial institutions, including agreements with the New York Stock Exchange (NYSE).

The Abu Dhabi bourse signed an MoU with the NYSE in November 2023 to collaborate on several key business activities, including the dual listing of companies on both exchanges.

The two exchanges will explore opportunities to develop ETFs and data and index products, as well as collaborate on sustainability-related initiatives.

Read: Here’s why the GCC IPO bonanza is here to stay