Saudi Arabia continues to solidify its position as the MENA region’s investment powerhouse, dominating the healthcare IPO landscape in 2024. As of August, all four healthcare IPOs in the region have been listed exclusively on the Saudi Exchange, collectively raising $920 million.
This performance highlights the Kingdom’s growing appeal as a regional hub for healthcare investment and capital market activity, supported by Vision 2030’s broader push to expand private sector participation in the healthcare system.
1. Fakeeh Care Group — The Year’s Largest Healthcare IPO
- IPO proceeds: $764 million
- Change in share price since IPO: +0.7%
The Fakeeh Care Group’s May 2024 IPO stands as the largest in the MENA region this year, raising $764 million through the sale of 21.47% of its shares. Investor demand was overwhelming, with the offering oversubscribed 119 times by institutional investors and 14.5 times by retail investors.
By the end of August 2024, Fakeeh Care’s market value had reached $3.6 billion, following a modest 0.7% rise in share price post-listing.
Financially, the group recorded $355.8 million in revenue in the first half of 2024 — a 24% increase year-over-year, driven by a 12.2% growth in billable patients to over 829,000. Its total assets stood at $1.4 billion.
2. Avalon Pharma — A Stellar Market Performer
- IPO proceeds: $131.2 million
- Change in share price since IPO: +65.4%
Avalon Pharma, officially known as Middle East Pharmaceutical Industries Company, went public in January 2024, offering 30% of its shares. The IPO was oversubscribed 54 times by retail investors and 138 times by institutions, reflecting strong investor confidence in the company’s prospects.
Since its listing, Avalon’s stock has been one of the best-performing healthcare IPOs in the region, surging 65.4% by August 2024 and pushing its market capitalization to $723 million.
The company reported $47.2 million in revenue during the first half of 2024, up 19% from the previous year, supported by total assets of $124.3 million. Tabbaa National Holding Company remains its largest shareholder with a 42.2% stake.
3. Al-Modawat Specialized Medical Company — Expanding Beyond Borders
- IPO proceeds: $14.1 million
- Change in share price since IPO: +45%
Listed on the Nomu – Parallel Market in January 2024, Al-Modawat Specialized Medical Company offered 475,000 shares, representing 20% of its capital. The offering was oversubscribed 135%, and the stock rose 45% within seven months of listing, bringing the company’s market cap to $102 million by August 2024.
As of June, Al-Modawat’s assets were valued at $31 million. The company, which manages its own affiliated hospital, is expanding its footprint internationally — establishing a wholly owned subsidiary in Egypt and signing a 25-year contract with Saudi Arabia’s Ministry of Municipalities and Housing to develop and operate a medical complex in Mahayel Asir.
4. Qomel Company — Strengthening Pharmaceutical Distribution
- IPO proceeds: $10.7 million
- Change in share price since IPO: +35%
Qomel Company, another Nomu-listed firm, offered 14.29% of its shares in April 2024. The offering was oversubscribed 275%, and shares gained 35% in the months following the IPO, with a market capitalization of $100.8 million by August.
In the first half of 2024, Qomel generated $15.6 million in revenue, up 33% year-on-year, supported by total assets of $43.7 million. The company has partnerships with Clinigen, Nova Laboratories, Trulife, and Plus Pharma, and has begun construction of a pharmaceuticals factory in Riyadh to strengthen domestic production capacity.
Saudi Arabia’s Healthcare Capital Market Momentum
The surge of healthcare IPOs on the Saudi Exchange reflects growing investor appetite for healthcare assets and confidence in the Kingdom’s regulatory and financial infrastructure. The combination of robust oversubscription levels, rising post-IPO valuations, and expanding healthcare operations underscores Saudi Arabia’s commitment to developing a sustainable, investor-friendly healthcare ecosystem.
With nearly $1 billion raised from healthcare listings in just eight months, Saudi Arabia is setting the pace for the MENA region’s healthcare investment narrative, signaling that the intersection of medicine, markets, and modernization is only just beginning.