ADX reinforces robust international demand for Abu Dhabi listed firms

Abu Dhabi Securities Exchange (ADX), one of the Middle East’s fastest growing securities exchanges, has successfully completed an Exchange-led roadshow in New York in collaboration with J.P. Morgan, reinforcing the robust international demand for Abu Dhabi listed companies.

The two-day Exchange-led roadshow in New York City that ended on May 2 attracted major institutional investors in the US and welcomed senior representatives from the Exchange and J.P. Morgan, along with 20 ADX-listed blue chip companies with a market capitalisation of over Dhs1 trillion. The well-attended event highlighted investment opportunities in the UAE’s capital markets following the strong performance of the exchange’s equity benchmarks last year.

The event attracted more than 60 CEOs, CFOs, in addition to senior management from institutional investors from across the US, representing $5 trillion in assets under management (AUM).

The senior ADX delegation was accompanied by over 50 CEOs, CFOs and senior executives from some of the largest and most dynamic companies listed in Abu Dhabi, providing them with a unique opportunity to showcase their equity stories and share their business performance. The companies were Abu Dhabi Commercial Bank, Abu Dhabi Islamic Bank, Abu Dhabi Ports, Adnoc Distribution, Adnoc Drilling, Adnoc Gas, Agthia Group, Al Yah Satellite Communications Company, Aldar, Bayanat, Borouge, Burjeel Holdings, Commercial Bank International, Dana Gas, Emirates Steel Arkan, First Abu Dhabi Bank, Presight AI, Rak Properties, Taqa, and Emirates driving company. The roadshow to New York is in line with ADX’s strategy plan to attract more international investors to the Exchange and follows the successful ADX roadshow to London in 2022.

Abdulla Salem Alnuaimi, Chief Executive Officer of ADX, said: “Our successful roadshow to New York firmly demonstrates that the UAE’s robust macroeconomic fundamentals, strong corporate performance and accelerating capital markets activity are making it an increasingly attractive location for international institutional investors.”

ADX will continue to support the growth story of the UAE, and its vibrant and diversified economy, by accelerating the listing pipeline and bringing new innovative products to the market. Access to long-term global capital is essential to the UAE’s sustainable long-term growth and we will continue to explore opportunities that will enhance market liquidity and attract a greater range of investors to our dynamic marketplace.”

During the roadshow, ADX and the senior management of the listed companies participated in more than 200 one-on-one meetings with the investors attendees, highlighting the exchange’s dynamic vision for growth and its successful strategy to increase liquidity and market capitalization.

Senior management from ADX and J.P. Morgan also participated in a panel on Abu Dhabi’s Capital Market Roadmap – ‘ADX, the global exchange of the future’, along with a panel on Abu Dhabi’s energy paradigm – ‘Moving towards a de-carbonised future’. The event also featured a fireside chat with Daniel Pinto, President of JPMorgan Chase & Co. where he addressed the new trends in the global capital markets industry.

The roadshow was held against a backdrop of significant activity on ADX, which has seen increased participation from international and institutional investors, including in IPOs, listings and new product launches. Last year, ADX listed more than 25 securities, including five IPOs which attracted significant global demand and raised over $5.4 billion. With the recent listings of ADNOC Gas ($2.5 billion) and Presight AI ($500 million), the ADX is once again at the forefront of the Mena IPO market in 2023.

In 2022, net foreign investment on ADX increased by 54.1per cent year to year reaching Dhs23.5 billion with foreign holdings increasing by 92 per cent during the same period. Mena-based investors led foreign investment on ADX with a 44 per cent share, followed by Europe & the UK (31per cent), the Americas (15 per cent) and Asia (10 per cent).

Abu Dhabi Securities Exchange (ADX) was established on Nov.15 of the year 2000 by Local Law No. (3) Of 2000, the provisions of which vest the market with a legal entity of autonomous status, independent finance, and management. The Law also provides ADX with the necessary supervisory and executive powers to exercise its functions. On March 17th, 2020, ADX was converted from a “Public Entity” to a “Public Joint Stock Company PJSC” pursuant to law No. (8) of 2020. ADX is part of ADQ, one of the region’s largest holding companies with a broad portfolio of major enterprises spanning key sectors of Abu Dhabi’s diversified economy.

ADX is a market for trading securities; including shares issued by public joint stock companies, bonds issued by governments or corporations, exchange traded funds, and any other financial instruments approved by the UAE Securities and Commodities Authority (SCA). ADX is the second largest market in the Arab region and its strategy of providing stable financial performance with diversified sources of incomes is aligned with the guiding principles of the UAE “Towards the next 50” agenda.