ALEC Holdings is one of the leading engineering and construction firms in the UAE. Now, it is set to go public this month with its highly awaited initial public offering (IPO) on the Dubai Financial Market (DFM). Moreover, the step marks the first-ever listing of a state-owned contractor of DFM. Hence, it signals a major achievement for the capital market in Dubai.
The Investment Corporation of Dubai (ICD), ALEC’s sole shareholder, will sell 1 billion shares of the company. However, it represents 20 percent of the capital of the ALEC. After the offering, ICD will retain an 80 percent stake in the company.
Key Subscription Details of ALEC Holdings
- Subscription period: September 23–30, 2025
- Retail investors: 5% of shares (50 million), minimum Dh5,000 application, guaranteed 2,000 shares
- Professional investors: 94% of shares (940 million), minimum Dh1 million
- Employees: 1% of shares (10 million), minimum Dh20,000 investment
- Priority rights: Emirates Investment Authority and Pensions & Social Security Fund (5% each)
Shares are expected to begin trading on October 15, 2025, under the ticker “ALEC.”
Financial Performance & Dividend Policy
As per the ALEC, it has Dh8.1 billion in revenue in 2024 compared to 6.3 billion in revenue in the previous year. Moreover, the revenue reached Dh5.4 billion for only the first half of 2025. In addition, net income also grew to Dh 363 million due to a strong backlog of Dh35.4bn as of June 30, 2025.
On top of that, the company has promised to pay the dividends of Dh 200 million in April 2026, followed by Dh 500 million for FY 2026. However, it would be payable in October 2026 and April 2027. On the other hand, dividends are expected to be semi-annual with a minimum 50 percent payout ratio.
Why This IPO Matters?
ALEC was founded in 1999. However, ICD acquired this company in 2017. Notably, it has delivered projects, like One Za’abeel, Dubai Hills Mall, and SeaWorld Abu Dhabi. Moreover, ALEC is now positioning itself for long-term regional growth due to its growing focus on the UAE mega projects, Saudi giga-projects, and AI-optimized data centers
Chairman Hussain Nasser Lootah said that the IPO is a natural step. Similarly, CEO Barry Lewis highlighted the expansion chances in the UAE and Saudi. However, it offers investors an opportunity to access one of the most trusted contractors in the Middle East.
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