UAE’s ALEC Holdings Sets IPO Price Range to Raise Up to $381M, Opens for Subscriptions

BY THE ARAB TODAY Sep 24, 2025

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UAE’s ALEC Holdings Sets IPO Price Range to Raise Up to $381M, Opens for Subscriptions

Dubai-based construction and engineering company ALEC Holdings has announced the price range for its initial public offering (IPO). The company aims to raise up to $381 million (AED 1.4 billion), with subscriptions opening on Tuesday.

IPO Details

The share price will range between $0.37 (AED 1.35) and $0.40 (AED 1.40).
This gives ALEC a market value of $1.84 billion to $1.91 billion (AED 6.8–7 billion).
The IPO will offer 1 billion ordinary shares, equal to 20% of ALEC’s share capital, worth $368–381 million (AED 1.35–1.4 billion).
The selling shareholder, the Investment Corporation of Dubai (ICD), may increase the offer size but will keep an 80% stake after the IPO.

Subscriptions for individual investors, institutions, and ALEC/ICD employees will run from September 23 to September 30. The final price will be set on October 1, and trading will begin on October 15.

Advisers and banks involved:

Joint global coordinators and bookrunners: Emirates NBD Capital and JP Morgan Securities
Joint bookrunners: Abu Dhabi Commercial Bank and EFG-Hermes UAE Limited/LLC
Independent financial adviser: Moelis & Company UK LLP DIFC Branch

Dividend Plans

ALEC plans to pay a $54.5 million (AED 200 million) cash dividend in April 2026.
For the 2026 financial year, it expects to distribute $136.1 million (AED 500 million), with payments in October 2026 and April 2027.
Going forward, ALEC will pay dividends twice a year, committing to distribute at least 50% of net profit.

Company Performance

In the first half of 2025, ALEC’s revenue rose 56% year-on-year to $1.5 billion (AED 5.4 billion).
Its EBITDA increased 8.2% to $119 million (AED 437 million).
As of June 30, 2025, ALEC had an order backlog worth $9.6 billion (AED 35.4 billion), with 79% of contracts secured in the past two years.
ALEC is ranked among the top construction companies in the UAE based on the value of projects under execution as of mid-2025.