Umm Al Qura stock climbs as Saudi Arabia’s IPO market grows. Shares jumped 30% on the first trading day. This sharp rise marked the highest increase allowed on debut. Investors quickly bought shares after the company raised SAR 1.96 billion earlier this month.
At the market’s opening, Umm Al Qura stock climbed SAR 4.5 ($1.2) above the SAR 15 IPO price. This made it the largest IPO in Saudi Arabia this year. It is also one of three companies that have raised over $1 billion combined.
Other newly listed companies performed well too. Poultry producer Entaj and online brokerage Derayah Financial also saw their stock prices jump. Their shares hit the maximum daily increase allowed.
Umm Al Qura stock climbs while more IPOs get approval. The Capital Markets Authority (CMA) gave three more companies permission to go public. This raised the total number of IPO approvals in 2025 to 11. Meanwhile, 24 more companies received six-month approval to complete their listings.
Among the 11 approved companies, only three will list on the main Saudi Exchange (Tadawul). The rest will join the Nomu parallel market.
Wajdlife Trading Company will sell 2.5 million shares, which is 20% of the company. Afaq Al Arabya, a logistics firm, will float 900,000 shares, representing 10%. Rawabi Marketing International, a chemical trading business, will offer 1 million shares, equal to 6.5% of its value. All three companies will list on Nomu.
The CMA is still reviewing applications. This year, 55 companies hope to launch IPOs. Last year, 43 firms went public and raised SAR 14.4 billion.
Umm Al Qura stock climbs because investors expect growth in Mecca’s real estate sector. The company is leading the Masar project, a $27 billion development in Mecca. The project will include hotels, apartments, and residential units.
Saudi Arabia wants to increase Hajj and Umrah pilgrims to 30 million by 2030. In 2024, 18.5 million people visited. A new CMA ruling now lets foreign investors buy shares in companies with property in Mecca and Medina.
