Delivery Hero SE’s Middle East arm, Talabat, has garnered full demand for its $1.5 billion initial public offering (IPO) in Dubai within minutes of the books opening. This underscores the robust appetite for regional deals.
According to terms seen by Bloomberg, the IPO’s price range of 1.50 dirhams ($0.41) to 1.60 dirhams has been fully covered. The parent company, Delivery Hero, is offering a 15% stake—amounting to 3.49 billion shares—with the top range valuing Talabat at $10.2 billion, just below Delivery Hero’s $11 billion market cap.
Talabat has secured cornerstone investments worth $250 million from the UAE Strategic Investment Fund, Abu Dhabi Pension Fund, and Emirates International Investment Co. The final offer price is set to be announced on Nov. 29, with trading slated to begin on Dec. 10.
This IPO adds to the surge of listings in the Middle East, where firms have raised approximately $10 billion in 2024. However, recent major IPOs in the region have seen mixed performances. Abu Dhabi’s Lulu Retail raised $1.7 billion in October, while a $2 billion IPO from an Omani state energy firm debuted with underwhelming results, closing 8% below its offer price.
The strong demand for Talabat’s shares reflects continued investor confidence in the Middle Eastern market, despite the cautious reception of some recent listings.