UAE IPO: Alpha Data announces offer price range

Alpha Data, the UAE-based digital transformation provider and system integrator, has revealed the price range and the start of the subscription period for its upcoming initial public offering (IPO) on the Abu Dhabi Securities Exchange (ADX).

Fayez Ibbini, founder and CEO of Alpha Data, commented, “We are excited by the strong interest Alpha Data has received since announcing our intention to float on ADX.

“This IPO offers a rare opportunity to invest in a successful UAE family business, underpinned by the growth of the ICT sector and emerging trends such as agentic AI. With our recent expansion into Saudi Arabia and Qatar, Alpha Data is positioned to continue its growth trajectory. We look forward to welcoming new shareholders as we embark on the next chapter of our journey.”

Key highlights of the Alpha Data offering

• The offer price range has been set between Dhs1.45 and Dhs1.50 per share, valuing the company at between Dhs1.45bn (circa $395m) and Dhs1.50bn (circa $408m) upon listing.
• A total of 400,000,000 shares, each with a nominal value of Dhs0.03, will be available in the offering, representing 40 per cent of the company’s total issued share capital.
• Alpha Data expects to distribute a dividend of  Dhs130m in 2025, offering an estimated dividend yield between 8.7  to 9 per cent based on the price range.
• All shares offered will be sold by existing shareholders, Bin Hamoodah Company and Ibbini Investment Company. The offering size may be amended at the sole discretion of the sellers, subject to regulatory approvals.
• The offering includes two tranches: the UAE retail offering for individual investors in the UAE (5 per cent of the total offering), and the qualified investor offering for professional investors outside the UAE (95 per cent of the offering).
• Subscription period: Opens on February 20 and ends on February 25 for both tranches.
• The final offer price will be announced on February 26 after a book-building process.
• The shares are expected to list and begin trading on ADX on or about March 11.
• The Internal Shariah Supervision Committee of Emirates NBD has confirmed that the offering complies with Shariah principles.

Details of the offer and subscription process

The offering will involve the sale of existing ordinary shares, with the proceeds directed entirely to the Selling Shareholders. Alpha Data will not receive any proceeds from the IPO.

UAE retail offering (first tranche): 20,000,000 shares (5 per cent of the offering) will be available for UAE retail investors. The minimum application size is Dhs5,000, with a guaranteed minimum allocation of 2,000 shares for successful retail investors, depending on demand.

Qualified investor offering (second tranche): 380,000,000 shares (95 per cent of the offering) will be available to professional investors, with a minimum application size of Dhs5,000,000.

The Emirates Investment Authority (EIA) will be entitled to subscribe for up to 5 per cent of the offer shares before the allocation of any remaining shares to qualified investors.

Following the listing, the shares held by the selling shareholders will be subject to a 180-day lock-up period, with certain exceptions as outlined in the underwriting agreement.

A stabilisation manager will also be appointed to conduct stabilisation transactions for up to 40,000,000 shares, aimed at supporting the market price in the early days of trading.

EFG-Hermes and Emirates NBD Capital PSC have been appointed as joint global coordinators and joint bookrunners. Abu Dhabi Commercial Bank is acting as a joint bookrunner.

Emirates NBD Bank is the lead receiving bank, supported by other banks including Abu Dhabi Commercial Bank, Abu Dhabi Islamic Bank, Al Maryah Community Bank, Emirates Islamic Bank, and Wio Bank as receiving banks.

Shariah compliance

Emirates NBD ISSC has issued a pronouncement confirming that the offering complies with Shariah principles. Investors are encouraged to conduct their due diligence regarding the Shariah compliance of the Offering.

The completion of the Offering and the listing of Alpha Data shares on ADX is subject to market conditions and obtaining all necessary regulatory approvals.