The Saudi Exchange (Tadawul) has introduced the Capital Management System (CMS), an advanced platform crafted to boost efficiency, transparency, and effectiveness in the initial public offerings (IPOs) within the Saudi capital market.
In an official statement, Tadawul noted that following the rollout of the initial phase for managing IPOs in the Nomu-Parallel Market, and after the successful pilot phase in the Main Market, the system is set for a complete launch to facilitate subscriptions for a diverse array of securities. This development is aimed at further evolving the Saudi capital market and enhancing its appeal to investors.
Seamless subscription experience
The system offers investors a smooth subscription experience, enabling them to subscribe directly through their investment portfolios without the necessity of creating new accounts. This innovation streamlines the process, conserving both time and effort while broadening access to a wider range of investment opportunities. As a result, it enhances their investment flexibility and decision-making capabilities.
Read more: Saudi Arabia’s Rasan gets IPO approval, to offer 22.7 million shares on Tadawul
Efficiency for issuers
For issuers, the CMS significantly reduces the timeframe needed to access the market, allowing them to list their financial securities with greater efficiency. It also provides the opportunity to connect with a larger investor base, thereby increasing the chances of a successful offering and amplifying demand for IPOs.
Enhanced management for financial institutions
For financial institutions and subscription managers, the CMS offers enhanced flexibility in overseeing IPO processes, minimizing administrative challenges, and optimizing the subscription workflow. Moreover, it strengthens their strategic role within the Saudi capital market by improving operational efficiency and execution speed.
Saudi capital market performance shines globally in primary market activities
Abdulaziz bin Hassan, a member of the board of the Saudi Capital Market Authority, announced that the Saudi market has excelled on a global level in primary market activities, ranking ninth worldwide in 2024. Additionally, the Saudi market achieved the seventh position in terms of the value of initial public offerings (IPOs), reflecting a remarkable growth in market performance.
Significant growth in trading values and profitability
Bin Hassan pointed out at the Financial Markets Forum 2025 in Riyadh that the trading values in the Saudi market saw a 37 percent increase in 2024 compared to the previous year, indicating a significant improvement in the performance of the Saudi market. Furthermore, the profitability of listed companies (excluding Aramco) grew by 24 percent compared to 2023, reflecting strong economic stability.
Debt markets crucial for financial stability and investment attraction
Abdulaziz bin Hassan emphasized that debt markets play a crucial role in the Authority’s strategy to enhance financial stability and attract investments. He explained that the Authority continues to review regulations regarding initial public offerings to enhance market efficiency and support the investment environment in the Saudi market.
Bin Hassan revealed that there have been 55 requests for IPOs in the Saudi market since the beginning of 2025, reflecting the increasing interest in investment opportunities in the Saudi market and highlighting the strength of the Saudi economy.
