Alpha Data Aims for $163 Million in the ADX IPO Backed By Bullish Investors

Alpha Data released a statement on Thursday that they have set a price range of Dh1.45 to Dh1.50 per share.

The technology company Alpha Data in the United Arab Emirates plans to raise Dh600 million ($163.4 million) through an initial public offer on the Abu Dhabi Securities Exchange, which signals high demand for its listings.

Alpha Data is the leading digital transformation service provider in the Middle East. It provides a complete range of servers and security solutions to various sectors.

They released a statement on Thursday that the digital transformation service provider has set a price range of Dh1.45 to Dh1.50 per share.

Bin Hamoodah Company and Ibbini Investment, the selling shareholders, aim to list 400 million shares on the Abu Dhabi Securities Exchange (ADX) primary exchange, 40% of Alpha Data’s total issued share capital.

The company stated that, depending on its offer price, its market capitalization at the time of listing might reach Dh1.5 billion.

The company stated the first tranche or portion of the pool, which will comprise 5% of the IPO, will allow retail and other UAE investors to invest in the share on offer. The second tranche is for the remaining 95% who are professional investors.

Alpha Dhabi expects to pay out a dividend of Dh130 million in 2025.

The subscription period will start on Thursday, February 20, and end on February 25. They will announce the final offer price after a book-building process on February 26, which means determining the issue price based on investor demand.

The founder and CEO Fayez Ibbini states that Alpha Data has been encouraged by a high level of interest in its initial public offer (IPO), which shows the power of the technology sector in the UAE.

He adds that he finds the initial public offering (IPO) as a chance to invest in the domestic family business in the United Arab Emirates with strong foundations supported by macro trends, which are significant shifts in consumer behavior that will directly affect the company in the long term, in the information and communication technology industry, such as rapid growth in agentic AI, which is a form of artificial intelligence that autonomously makes decisions, takes actions, and self-optimizes with limited supervision.

Mr. Ibbini continued that with their recent establishment in Saudi Arabia and Qatar, he believes that Alpha Data is in a strong position to get more growth across various business domains.

Alpha Data is a recent company looking to sell shares to the general public amid a listing boom driven by strong investor demand for new issues.

The business is trying to capitalize on UAE’s effort to develop the technology where the government is persistently promoting digital transformation and adopting cutting-edge technologies as the country moves towards the future economy.

The UAE, which is the second largest economy in the Arab world, has maintained its economic momentum, which has increased listings in various industries on the Dubai Financial Market and the Abu Dhabi Stock Exchange.

Alpha Data plans to list after a series of initial public offers (IPO) in the last 12 months. Talabat Holding, the Middle Eastern division of Delivery Hero, a food delivery service company, raised Dh7.5 billion in November, the Gulf’s biggest IPO last year. Lulu Group, a UAE leading retailer, raised Dh6.32 billion.

NMDC Energy, a unit of Abu Dhabi contractor National Marine Dredging Company, raised $877 million in the 2024 IPO, and Alef Education raised $515 million.

Analysts say that the pipeline of IPOs is still strong despite strong non-oil sector growth in the economy. The government also supports unlocking the value of state companies and selling shares, which supports the pipeline.

The diversified business Dubai Investments, owned by the sovereign wealth fund Investment Corporation of Dubai, announced last month that it plans to go public with its four subsidiaries.