ALEC Holdings Announces IPO Price Range Ahead of Dubai Debut
<p>Dubai-based ALEC Holdings, one of the UAE’s leading engineering and construction companies, has officially announced the price range for its highly anticipated initial public offering (IPO). The firm plans to offer shares at Dh1.35–1.40 each, a move that reflects Dubai’s ongoing efforts to strengthen its capital markets and attract investment in strategic sectors.</p><p>The IPO involves the sale of 1 billion shares, which represent a 20% stake in ALEC’s total capital. The final offer price will be determined on October 1, following the subscription period, which opens on September 23 and closes on September 30. If successful, ALEC will make its trading debut on the Dubai Financial Market (DFM) on October 15.</p><p>ALEC Holdings is a subsidiary of the Investment Corporation of Dubai (ICD), which will maintain an 80% ownership in the company after the IPO. This remaining stake will be subject to a 180-day lock-up period, ensuring stability and investor confidence in the immediate aftermath of the listing. The IPO is structured to allocate the majority of shares—94%—to institutional and professional investors, while retail investors can access 5% of the offering, and ALEC employees are allotted the remaining 1%.</p><p>The UAE government, through two key funds—the Emirates Investment Authority and the Pensions and Social Security Fund for Local Military Personnel—has been given priority rights to 5% each of the total shares on offer. This allocation highlights the strategic importance of ALEC’s listing in Dubai’s economic landscape and provides a clear endorsement from key government stakeholders.</p><p>Advisors guiding the IPO include Emirates NBD Capital, ADCB, and EFG Hermes, serving as joint lead managers. Their expertise is expected to help ensure a smooth process and strong market reception. The IPO is anticipated to draw attention from both regional and international investors, especially considering the strong aftermarket performances of recent listings on the DFM, such as Salik and Spinneys.</p><p>ALEC Holdings has steadily built its reputation as a key player in the UAE’s construction and engineering sector. Its portfolio includes high-profile projects across residential, commercial, and infrastructure segments. The IPO offers investors a unique opportunity to participate in the growth story of one of the region’s most prominent contractors, while providing ALEC with additional capital to support expansion plans, including ventures into the Saudi Arabian market.</p><p>The timing of the IPO aligns with Dubai’s broader strategy to diversify its economy and strengthen the financial market ecosystem. By offering shares to both institutional and retail investors, ALEC is ensuring broad participation while maintaining majority control within its parent company. This structure reflects a careful balance between raising capital, supporting market liquidity, and preserving long-term stability.</p><p>Investors looking to subscribe to the ALEC IPO will have a one-week window from September 23 to September 30. Market analysts suggest that the listing could become a benchmark for future IPOs in Dubai, given the company’s solid financial track record and the government-backed ownership structure.</p><p>Overall, ALEC Holdings’ IPO represents a landmark moment for Dubai’s capital markets. It underscores the city’s ongoing commitment to attracting investment, supporting large-scale infrastructure firms, and providing diverse opportunities for both local and international investors. With trading set to begin on October 15, the coming weeks will be closely watched by market participants eager to see how this major UAE contractor performs in the public market arena.</p>