Wio Bank PJSC, the first platform bank in the region, has entered into a partnership with the Abu Dhabi Securities Exchange (ADX) to simplify the process of subscribing to Initial Public Offerings (IPOs) on ADX. As a result of this agreement, Wio customers can use the upcoming personal banking mobile application of Wio Bank to subscribe immediately to UAE IPOs on ADX.
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As a part of its commitment to provide swift and frictionless banking experiences, Wio offers a fully digital service through which its customers can promptly create a National Investor Number (NIN) on ADX and apply for IPO subscriptions on ADX in the UAE from their Wio Bank account, without the need for physical documentation.
Moreover, Wio customers have the advantage of applying for leverage at an attractive rate of up to five times the invested amount, which allows them to enhance their share allocation in an IPO. Wio’s digital platform and extensive customer insights enable the swift approval of the leverage application.
As a testament to the thriving Abu Dhabi capital market, the ADX contributed to 14 percent of global IPOs in the first quarter of 2023. The UAE market experienced a surge in IPO activity in 2022, with a total of 11 IPOs raising AED 51.2 billion, and a total subscription of AED 1.45 trillion.
This partnership reinforces ADX’s plan to extend its investor base and improve market liquidity by utilizing digital solutions. In 2022, the trading value on the ADX rose by almost 21.9 percent from the previous year, reaching AED 450 billion, which was driven by diverse product offerings, increased listings, and international investor participation. Furthermore, the benchmark FADX 15 Index gained 22.6 percent in 2022, making it the most successful index in the Arab world.
According to Jayesh Patel, Chief Executive Officer (CEO) of Wio Bank PJSC, the agreement has allowed them to simplify the process by eliminating the need for paperwork submission. As a result, their customers can access significant investment opportunities immediately through their upcoming personal banking application.
For his part, Abdulla Salem Alnuaimi, CEO of ADX, the partnership with Wio Bank has allowed them to improve their digital offerings by enabling investors to promptly and efficiently access IPO investment opportunities on ADX through Wio Bank’s digital banking application.
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