From Startup to Public Offering. Strengthening the IPO Pipeline in Saudi Arabia
Liquidity events, or exits, are an essential component of a robust, dynamic entrepreneurship ecosystem, ensuring capital is recycled and that entrepreneurial risk is properly rewarded. While a public listing is the most visible exit, it is only one of various liquidity pathways.
Founders who elect to pursue an Initial Public Offering (IPO) must navigate a distinct set of considerations compared to private exits concerning their financial reporting, organizational structure, and growth strategy as they transition from owners to stewards of public trust. Whether an IPO, a strategic M&A, or a secondary sale, Endeavor Saudi Arabia aims to support diverse founder pathways to liquidity, building a strong and attractive entrepreneurship ecosystem.
Saudi capital markets gain momentum in the region and world
Saudi Arabia has emerged as the most dynamic equity market in the Gulf Cooperation Council, becoming the fastest-growing stock market in the world in 2024 and steadily consolidating its role as the region’s primary hub for public listings. Between 2023 and 2025, Saudi exchanges accounted for 106 of the 130 IPOs across GCC markets—about 82% of all regional listings. A key driver has been the Nomu Parallel Market, which expanded from 9 listed companies in 2017 to around 125 by September 2025.
Robust IPO pipeline: public offerings from scaleups on the near horizon in Saudi
23 of 30 of high impact founders surveyed are actively considering going public, and 22 plan to list in the next two years. Founders were four times more likely to report a favorable shift in their perception of IPOs in the last two years compared to a negative shift. These trends point to a healthy pipeline of innovative, high-growth companies preparing for listing, a positive sign that the ecosystem is maturing toward greater IPO readiness.
Founders’ IPO readiness: strength in fundamentals, opportunity in structure, strategy and narrative
While 3 in 4 surveyed founders actively considering pursuing an IPO in the next two years, 50% report they are not at all or little prepared to meet listing requirements.
Ambition to list is rising, but systematic preparation across governance, leadership, risk, and advisory engagement will be essential to translate that ambition into successful public market outcomes.
Incipient VC-backed IPO pipeline in Saudi, outsized upside
The capital depth and strong valuations of Saudi’s VC-backed IPOs indicates that with relatively few listings, the total market capitalization of venture-backed public companies could meaningfully increase. 23 high-growth founders surveyed by Endeavor are actively considering listing on Tadawul.
A probability distribution based on this survey predicts the potential of a low, mid, and high case scenario with four, seven, and twelve additional venture-backed IPOs in Saudi, respectively.
If just half of these list publicly, Saudi stands to quadruple its market capitalization from VC-backed companies. With targeted reform and incentives, Saudi can dynamize its existing pipeline and produce tangible gains.
Founder-to-CEO Playbook
Founders must view the IPO as a transformation, not a destination– requiring a shift in mindset toward becoming a CEO of a public company. Founders should explicitly define their “why” for listing to guide strategy and post-IPO growth. Key advice includes not outsourcing the equity story, engaging institutional investors who believe in the long-term plan, prioritizing a balanced offer price that leaves room for post-IPO appreciation, and building governance and compliance systems alongside growth, not as an afterthought.
The following provides a ten-step playbook, guiding founders in leading their company through a public listing.
