Riyadh: A joint report by Endeavor Saudi Arabia, in partnership with Saudi Venture Capital Company (SVC), reveals that 77% of surveyed founders are considering an initial public offering (IPO), with 91% preferring to list on the Saudi Exchange (Tadawul)-underscoring the continued maturation of the Kingdom's private capital ecosystem and the growing attractiveness of local capital markets as a viable exit pathway.

According to Saudi Press Agency, the report, titled 'From Startup to IPO: Strengthening the IPO Pipeline in Saudi Arabia,' provides an in-depth analysis of founder sentiment, company readiness, and the structural factors shaping the next generation of publicly listed companies.

Managing Director at Endeavor Saudi Arabia Lateefa Alwaalan commented, "This report reflects a more advanced stage in the evolution of Saudi Arabia's entrepreneurial ecosystem. It shows a clear shift in how founders are thinking about growth, with more companies being built with the scale, structure, and ambition required to access public markets. Strengthening this pipeline is key to enabling long-term, sustainable growth across the ecosystem."

Deputy CEO and Chief Investment Officer at SVC Nora Alsarhan added, "These indicators reflect the accelerated development of Saudi Arabia's private capital ecosystem, built through cumulative efforts. At SVC, we have acted as a market maker, working closely with our partners to build the ecosystem, stimulate private capital investment-particularly in early stages-and contribute to the market's growing attractiveness for IPOs."

The findings highlight a clear shift in how founders and investors view public markets, reflecting growing confidence in Tadawul as a platform for long-term growth and value creation. This momentum is driven by ongoing ecosystem development, including increased early-stage capital deployment, improved regulatory frameworks, and enhanced company readiness-collectively supporting the transition of high-growth companies toward public listings.

While progress is evident, the report underscores the importance of further strengthening institutional capabilities, particularly in governance, strategy, and organizational structures, alongside addressing key considerations such as IPO costs and access to growth-stage capital.

The report concludes that Saudi Arabia is entering an advanced phase in the development of its capital markets, with a unique opportunity to build a sustainable and globally competitive IPO pipeline that supports the next generation of high-growth companies and contributes to achieving Vision 2030 goals.