2026 and Beyond: The Next Exit Cycle for MENA’s Digital Leaders

IPO activity in MENA has remained resilient through recent cycles, even as digital-first listings have progressed unevenly. Rather than indicating a lack of opportunity, this pattern reflects the way digital-first exit cycles typically unfold, with activity clustering around windows of confidence rather than building steadily over time.

1. Digital-first IPO momentum in MENA has paused

Between H1 2022 and H2 2025, digital-first IPO activity in MENA moved in distinct phases. Periods of increased listings, such as H1 2022 and H1 2024, were followed by pauses, underscoring the episodic nature of exits in this segment.

While digital-first listings were absent in the most recent period, overall IPO momentum in the region remained intact. Importantly, this does not reflect a lack of scaled digital businesses. Several large digital-first companies have publicly signalled IPO readiness but chosen to defer timelines as market conditions evolved. Dubizzle is a prominent example, having openly discussed IPO plans before deferring its planned listing timeline. Similarly, platforms such as Noon and Floward have raised late-stage capital and strengthened governance while sequencing potential listings into the next phase, rather than rushing to market.

These deferrals highlight that timing and valuation alignment remain the key constraints, not the feasibility of digital-first IPOs in MENA.

2. Global markets show that pauses typically precede stronger digital IPO waves

Global markets provide a useful context for understanding this pattern. In the United States, digital-first IPO activity surged in 2020 and 2021 before declining sharply in 2022 and 2023 as interest rates rose and growth valuations corrected. While broader IPO activity continued, digital-first listings lagged before beginning to re-emerge selectively in 2024 and 2025.

India followed a different but equally instructive trajectory. After a strong wave of digital-first listings in FY21 and FY22, activity dropped materially in FY23. Subsequent years saw intermittent reopening rather than a full rebound, with listings stabilising at lower levels. Together, these markets show that digital-first IPO cycles are rarely smooth and often involve extended pauses before exits resume.

3. MENA is approaching its next exit window, with 2026 as the inflection point

Beyond near-term IPO timing, structural factors are increasingly supportive of exits in MENA’s digital-first ecosystem. Venture capital investors typically target exits within a 7 to 10 year window, and a large share of scaled digital-first companies in the region were founded between 2016 and 2019. Many of these businesses are now entering, or already within, their natural exit window, increasing pressure to convert scale into liquidity.

This is reflected in rising pre-IPO activity across the region. Several leading digital-first companies have raised late-stage capital to strengthen governance, profitability, and balance sheets as they prepare for exits, whether through public markets or alternative routes. Recent rounds by players such as Tabby and Noon signal growing investor alignment around near-term monetisation rather than indefinite private ownership.

At the same time, M&A is emerging as an increasingly relevant exit pathway, particularly in highly competitive sectors. Consolidation in categories such as food delivery highlights how strategic buyers are stepping in alongside public markets, creating multiple exit options for scaled digital-first platforms.

A Growing Pipeline of IPO-Ready Digital-First Companies in MENA

The pipeline of exit-ready companies spans fintech, classifieds, retail, food and quick commerce, superapps, B2B SaaS, logistics, and travel. These businesses have reached meaningful scale, built strong consumer brands, and operate in categories where public market and strategic buyer comparables already exist. The breadth of this pipeline reinforces that exit potential is ecosystem-wide rather than concentrated in a single vertical.

What this means for MENA’s digital-first exit cycle

MENA’s digital-first exit landscape is evolving through a sequencing phase rather than a structural slowdown. While IPO timing has been uneven, underlying exit drivers remain intact. A growing cohort of companies is now within the venture exit window, pre-IPO fundraising activity is increasing, and M&A is gaining relevance as a complementary exit path in competitive sectors.

Taken together, these dynamics suggest that digital-first exits are likely to materialise through a combination of IPOs and consolidation rather than a single channel. While the path ahead may remain non-linear, the convergence of investor timelines, company preparedness, and multiple exit routes supports the view that the next phase of exits is approaching, with 2026 shaping up as a credible inflection point.