Muscat – Lulu Group International, which runs one of the Middle East’s largest supermarket chains, is considering an initial public offering (IPO) early next year in the UAE, according to a Bloomberg report which quoted people familiar with the matter.

Lulu Group – valued at more than US$5bn in 2020 – has asked global banks to pitch for roles for potential listings, the people said, asking not to be identified discussing confidential information.

The group may opt for multiple listings in the Gulf stock exchanges, one of the people said, as reported by Bloomberg.

Deliberations are ongoing and no final decisions have been made on the venue or details of the offering, the people said. It wasn’t immediately clear if Lulu Group wants to list parts of the business or the entire firm.

Abu Dhabi-based Lulu Group was founded by Indian entrepreneur Yusuff Ali, who set up the first Lulu store in the early 1990s during a years-long oil boom in the Gulf region. The company also operates shopping malls and other businesses including hospitality, shipping and real estate.

“We don’t want to comment on market rumors,” said V Nandakumar, Lulu Group’s director of communications, Bloomberg reported.

Lulu Group, which has an annual revenue of about US$8bn, employs more than 57,000 people and mainly operates in 22 countries located across the Middle East, Asia, the US, and Europe.

Saudi Arabia’s sovereign wealth fund is exploring a potential investment in LuLu Group International. This comes after ADQ acquired almost a fifth of LuLu Group International for just over US$1bn in late 2020.