Mideast IPO Momentum Faces Valuation Test After $13 Billion Year

A bumper pace of new share sales across the Middle East in 2024 is expected to continue next year, even though a few recent disappointing trading debuts have flashed warning signs on valuations.

Firms have raised $13 billion from initial public offerings in 2024, marking the Middle East’s second-best year since the pandemic. But unlike in previous years, buoyant early returns are no longer a given.

The three largest Gulf offerings of the year — Talabat Holding PLC, OQ Exploration & Production SAOG and Lulu Retail Holdings PLC — had muted debuts recently after drawing significant demand. Lulu ...