Abu Dhabi Securities Exchange (ADX), the region’s leading financial market, recently held a conference with ten of the UAE’s top banking institutions to discuss plans for its new electronic Initial Public Offering (IPO) services.
The new service will allow banks, issuers and key stakeholders to manage IPOs through ADX’s existing eKtetab platform, which provides a range of application, data visualisation and reporting tools for investors. The platform has been designed to standardise the IPO process, improve efficiency and support Abu Dhabi and the UAE’s transition to smart services, whilst minimising errors and ensuring accuracy.
The meeting was attended by over 60 participants including ADX’s senior management and representatives from FAB, ADCB, ADIB, AHB, UNB, DIB, ENBD, HSBC, Citi Bank and Finance House. During the session, participants were taken through ADX’s IPO business plan, along with the features and benefits of the new services, and proposed execution timeline
Rashed Al Blooshi, Chief Executive of ADX highlighted that the new eKtetab plan comes as part of ADX’s mission to contribute to the Abu Dhabi Economic Vision 2030, strengthen the local economy, and support the sustainable economic development of Abu Dhabi and the UAE. It also comes as part of ADX strategic initiatives to Increase market cap and product range as well as attract and activate a wider range of investors in the framework of ADX commitment to Abu Dhabi plan through improving the investment climate in the Emirate and creating a business environment that is both competitive and flexible.
Al Blooshi said: “ADX boasts a diverse company listing and offers investors a stable trading environment, as well as innovative products and services. It operates in accordance with best international practices in terms of disclosures, transparency and corporate governance. Looking ahead, while the main objectives of this project are primarily to increase efficiency in the current IPO system, the more we shift to an electronic process, the closer we get to the ultimate goal of forming an automated marketplace in line with Government plans.”
Al Blooshi added: “I would like to express my sincere thanks to the participating banks for their cooperation and readiness to move forward with this plan, as well as the efforts of the ADX project team in bringing this technology to life.”
The eKtetab execution plan will be rolled out in two phases - the first of which will focus on the planning process and includes bank and production readiness. The second phase will involve channel integration.
The introduction of eKtetab services will follow the launch of many new innovative digital services developed by ADX, which include blockchain technology for eVoting services – a first for MENA region financial markets.