Kuwait’s Capital Markets Authority (CMA) launched its IPO on October 1. It opened a subscription to Kuwaiti nationals, setting the offer price at 100 fils at nearly Dh1.20 per share. The IPO ended with a 44% sale earlier this year to an association of international and domestic investors. The major equities index in Kuwait rose from 0.1% gradually increasing to 17% this year. The CMA’s 50% stake was given to the public to finish the privatization process of the company. However, it is said that about 2 or 3 IPOs may launch in the Kuwaiti market this year and at the beginning of next year.
Recently, Boursa Kuwait released a new BK Main 50 index that includes the most heavily-traded shares in its main market. The operator of Kuwait’s equity market, which listed its shares in a public offering last December, claimed that the new index will represent the 50 most liquid shares, weighted by market capitalization. The release of the BK Main 50 Index represents a significant step further in Boursa Kuwait’s market segmentation and forms part of our ongoing endeavours aimed at creating a robust capital markets ecosystem in Kuwait. Overall, the involvement of Kuwait into MSCI’s rising markets index is likely to lead $3 billion which is nearly Dh11bn in passive inflows.
