Buoyed by the successful of listing of Baladna and the sound macroeconomics of the country, Qatar’s private sector has evinced greater interests in becoming public and the country’s stock market is all set to see the listing of a real estate firm in the near future.
“At least I have one active file (in terms of listing),” Qatar Stock Exchange (QSE) chief executive Rashid bin Ali al-Mansoori told reporters on the sidelines of the listing of Baladna Wednesday.
Asked under which sector the prospective entity belonged to, he said it is the from the real estate. However, he did not disclose further details.
The QSE’s real estate sector now has four constituents – United Development Company, Barwa, Ezdan and Mazaya Qatar.
Although, he did not specify on the number of listings expected in 2020, al-Mansoori sounded positive owing to the increased interests shown by the private sector, including family owned entities.
“There is a growing interest from the private sector” (for listing), he said, adding the bourse had made many achievements during this year.
It is learnt that there has been a prospective entity, within healthcare/pharmaceutical sector, seeking to go public.
Expectations regarding the public offers have heightened, given that the country's macroeconomic profile remains intact despite the economic and trade blockade.
The increased room for the private sector and hence the need for capital requirements is expected to prompt these entities to seek listing, sources said.
At present, the QSE has 46 listed companies — 13 under banking and financial services, 10 (industrials), nine (consumer goods and services), five (insurance), four (realty), three (transport) and two (telecom).
The Qatar Financial Center (QFC) is targeting 10 listings on the QSE as it aims to achieve 5% market capitalisation through its authorised companies.
Already two exchange traded funds (ETFs) — one sponsored by Masraf Al Rayan and other one by Doha Bank — has been incorporated under the QFC and listed on the QSE. Moreover, Qatar First Bank, which is also a QFC-authorised entity, is listed on the domestic bourse.
Indications are that family-owned companies may create holding companies (under QFC), which in turn may seek listings. Similar is the case with those sovereign-backed entities that wish to go public.
In its 2017-22 roadmap, the QFC had said it would allow more stock listings and financial products on the bourse including ETFs, sukuk, real estate investment trusts and family-owned companies in order to achieve 5% QSE market capitalisation.
The QSE had reported foreign funds net inflow of as much as $1.3bn until November end and it had seen as much as $2.5bn during 2018.