United Arab Emirates (UAE) retail giant LuLu Retail successfully commenced trading on the Abu Dhabi Securities Exchange (ADX) on Thursday, November 14, following its Initial Public Offering (IPO) and trading under the ticker “LuLu”.

The IPO raised gross proceeds of Dirham 6.32 billion (Rs 1,45,31,95,52,000), making it the largest offering in the UAE in 2024 to date.

The offering attracted a remarkable aggregate demand exceeding Dirham 135 billion (Rs 31,04,13,60,00,000) from local, regional, and international investors, setting a record for non-Government IPOs in the UAE over the past decade, with an oversubscription rate exceeding 25 times across all tranches. Cornerstone investors included leading sovereign and institutional investors from across the GCC.

LuLu’s IPO saw a record 82,000 retail investors subscribe for shares, with 50,000 registering at ADX within 16 days, attracting global investor demand.

“LuLu’s addition to ADX’s growing portfolio reflects the UAE’s strides in cultivating a robust, multi-sector economy,” said Ghannam Butti Almazrouei, chairman of ADX.

LuLu Retail’s chairman, M A Yusuffali, acknowledged the significant contribution of their numerous employees to the company’s success.

“Our listing on ADX marks a day of great pride for the entire LuLu team. Many of our 55,000 employees have been with our Company for decades, demonstrating their commitment to providing for our customers and to growing our business, and this achievement would not have been possible without them,” he said.

He expressed excitement about listing Lulu Retail in Abu Dhabi, offering local and international investors the chance to explore the region’s growth potential.

LuLu Retail’s growth strategy focuses on enhancing its existing store network, expanding it, driving operational efficiencies, and delivering revenue through private label and loyalty program expansion.

It is the largest pan-GCC full-line retailer by selling space, sales (retail sales value) and number of stores in 2023, and holds the top position in modern offline grocery retail in the GCC region, capturing a 13.5-percent share of the GCC modern offline grocery market in 2023.

In 2023, LuLu Retail was the second-largest grocery retailer in the UAE; the largest retailer in Oman, Qatar, Bahrain and Kuwait; and the fastest growing and largest pan-GCC retailer in the Kingdom of Saudi Arabia.