ALEC Holdings, a Dubai-based engineering and construction firm, has set the final price for its initial public offering (IPO) at 1.40 dirhams ($0.38) per share, reaching the upper limit of the previously announced price range.
The IPO, representing 20% of the company’s share capital, is set to raise AED 1.4 billion ($381 million), valuing ALEC Holdings at AED 7 billion ($1.91 billion) upon its listing on the Dubai Financial Market.
Investor interest was robust, with total demand hitting approximately AED 30 billion, resulting in an oversubscription exceeding 21 times across all subscription tranches.
ALEC Holdings plans to distribute AED 200 million in dividends for FY2025, payable in April 2026, and AED 500 million for FY2026, to be paid in two tranches in October 2026 and April 2027. At the final offer price, this corresponds to a dividend yield of 7.1% for FY2026.
Trading of ALEC Holdings shares is expected to commence on or around 15 October.
