Alec Holdings priced its Dubai IPO at the top of its range at AED 1.4 a share, raising AED 1.4 bn in gross proceeds and giving it a market cap of AED 7 bn, according to a press release (pdf). The offer drew some AED 30 bn in orders from local, regional, and international investors, closing more than 21x oversubscribed. The final pricing also implies a 7.1% dividend yield for FY 2026.

Alec’s listing marks the UAE’s largest-ever construction IPO by valuation and size, ending a 15-year drought in the sector, the company said. It also drew one of the highest levels of foreign participation seen in a Dubai government-linked offering in recent years.

It’s nearly showtime for the stock: Alec’s shares are scheduled to start trading on the DFM on Wednesday, 15 October.

What they said: “This is a clear vote of confidence in [Alec’s] distinct value proposition and disciplined operating model. The strong response also signals broader investor conviction in the region’s construction sector, underpinned by ambitious national agendas and a strong pipeline of transformational projects,” CEO Barry Lewis said.

REFRESHER- Alec marketed 1 bn existing shares, or 20% of its total capital, in Dubai’s first corporate IPO of the year. It is also the seventh company to list under Dubai’s privatization program, following in the footsteps of Parkin, Dewa, Dubai Taxi, Salik, Tecom, and Empower.

ADVISORS- Our friends at EFG Hermes are acting as joint bookrunners on the transaction alongside Abu Dhabi Commercial Bank. They’re joined by Emirates NBD Capital and JP Morgan as joint global coordinators and bookrunners, while Moelis is acting as independent financial adviser. Gibson, Dunn & Crutcher, and Ibrahim & Partners are providing counsel.

Emirates NBD is the lead receiving bank, alongside ADCB, ADIB, Al Maryah Community Bank, Commercial Bank of Dubai, Dubai Islamic Bank, Emirates Islamic, First Abu Dhabi Bank, Mashreq, and Wio Bank.

ALSO IN THE PIPELINE-

  • Amanat Holding secured regulatory approval to list 30% of its education unit in Saudi Arabia’s Tadawul; with potential plans to also float its healthcare arm ;
  • Binghatti was the latest to join the UAE real estate IPO frenzy earlier this month, joining Arabian Construction and property and classifieds platform Dubizzle.
  • Emirates Global Aluminium could be reviving plans for a potential IPO that could rank among the region’s largest;
  • ADQ-backed Etihad Airways highly-anticipated IPO was expected to kick off after Eid Al Fitr but could be delayed to 2026 ;
  • Abu Dhabi conglomerate International Holding Company’s investment arm 2PointZero is gearing up for an IPO on the ADX;
  • Dubai Holding plans to float two of its property portfolio units;
  • Abu Dhabi Investment Group is eyeing listings for its financial unit and energy subsidiary this year;
  • Hospitality group Five Holdings also tapped advisors for a potential listing;
  • Shisha producer Advanced Inhalation Ritual is also rumored to potentially IPO.
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