Dubizzle's IPO Revolutionizes Digital Marketplaces

Dubizzle Group's Stock Market Listing Sparks New Era for Digital Marketplaces

The Dubizzle Group has officially announced its plans for an initial public offering (IPO) and will list its shares on the Dubai Financial Market (DFM). This move not only marks a milestone in the company's history but could also elevate the entire region's digital economy to a new level. Dubizzle, which over the years has become a key player in the digital advertising market, is now attracting a wide range of investors into its growth trajectory.

IPO Details

During the Dubizzle Group IPO, approximately 30.34 percent of the company's shareholdings, amounting to a total of 1,249,526,391 shares, will be offered. Of these, 196,114,887 are new shares, while 1,053,411,504 existing shares are being sold by current owners. The face value of the shares is 0.02 dirhams, and the fully paid-up share capital will be 82,368 million dirhams following the completion of the transaction.

The final pricing for the IPO will be determined through a book-building process based on demand and market interest. For retail investors, the subscription period will begin on October 23, 2025, and is expected to close on October 29. For professional investors, pricing and allocation are scheduled for October 30, with trading set to commence around November 6 on the DFM.

Strategic Supporters and Investors

A strong indication of confidence in the IPO is that the company's largest shareholder, Prosus NV (through its subsidiary OLX BV), has committed to a $100 million investment as part of the IPO. This not only reflects their commitment to the enterprise but also their belief in Dubizzle's long-term growth potential.

In the IPO, the first tranche—reserved for retail investors—accounts for 3 percent of the total offering, equating to 37,485,791 shares. The second tranche, aimed at institutional and professional investors, covers 97 percent of the issuance, totaling 1,212,040,600 shares.

The Foundation of Dubizzle's Strength

The Dubizzle Group holds a leading position in the digital marketplace of the United Arab Emirates and the region. It encompasses well-known brands like Dubizzle and Bayut, which are particularly dominant in the real estate and automotive sectors. The platform boasts 18 million active users per month and increasingly plays a significant role in connecting individual and corporate sellers and buyers.

This robust digital ecosystem benefits not only users but also business partners, as it enables the exchange of products and services in an increasingly efficient and automated manner.

Why Is Dubizzle Going Public Now?

The timing of the IPO is justified on multiple fronts. First, the role of the digital economy has become significantly more valuable in recent years, especially in the post-COVID era, which saw a surge in demand for online services. Secondly, Dubai and the entire UAE aim to strengthen their position as the technological hub of the region and encourage domestic companies to go public.

Dubizzle's entry into the stock market clearly signals that the country's regulatory and economic environment supports digitalization and technological innovations. Additionally, the capital raised through the IPO will enable the company to enter new markets or introduce new services to its existing platforms.

Dividend Policy and Future Prospects

The company has emphasized that dividend payments are not guaranteed as they depend on future financial performance, investment plans, and available resources. This approach reflects a commitment to using the funds raised during the IPO primarily for growth and technological advancements.

The company's future goals include geographic expansion, the development of AI-based search and recommendation systems, and optimizing the customer experience.

Banks Involved in the Subscription

The Dubizzle IPO has strong financial institutional backing. Global coordinators and bookrunners include Emirates NBD Capital, Goldman Sachs International, HSBC Bank Middle East, and Morgan Stanley & Co. International. Additional banks involved in the book-running roles include Abu Dhabi Commercial Bank, Barclays Bank, EFG-Hermes, as well as Dubai Islamic Bank, and Mashreq Bank.

Emirates NBD Bank serves as the principal receiving bank, with participation from others like Abu Dhabi Islamic Bank, Al Maryah Community Bank, First Abu Dhabi Bank, and Wio Bank.

Conclusion

Dubizzle Group's stock market listing is not just a corporate transaction but a signal of digital transformation in the region. The company's long-term vision, technological foundation, and user base all indicate that the IPO is not only a financial milestone but also a strategic one. With new shareholders joining in, Dubizzle has the opportunity to grow even stronger and remain a key player in the world of digital marketplaces—not just in the UAE, but across the broader Middle Eastern and North African region.

(Source: Dubizzle Group press release.)