Abu Dhabi-based education technology leader Alef Education announced the price range and subscription window for its initial public offering (IPO) on the Abu Dhabi Securities Exchange's (ADX) Main Market. The offering aims to raise between AED 1. 82 billion (USD 496 million) and AED 1. 89 billion (USD 515 million).
Alef Education set an indicative price range of AED 1. 30 to AED 1. 35 per share, translating to a potential market capitalization of AED 9. 10 billion (USD 2. 48 billion) to AED 9. 45 billion (USD 2. 57 billion) upon listing. The company will offer 1. 4 billion ordinary shares, representing 20% of its issued share capital.
The subscription period commenced on May 28th, 2024, and will conclude on June 4th for individual investors and June 5th for institutional investors. The final offer price will be determined after the book-building process and is expected to be announced on June 6th.
This IPO marks a significant milestone for Alef Education, positioning it for further growth and expansion. The company intends to leverage the proceeds from the offering to fuel organic and inorganic growth initiatives. organically, Alef Education aims to solidify its position as the leading education technology provider within the UAE. Inorganically, the company seeks to execute strategic acquisitions to bolster its B2G (business-to-government) strategy and tap into the vast potential of the global B2B (business-to-business) education technology market.
Alef Education has established itself as a prominent player in the UAE's education sector, offering a comprehensive suite of technology-driven solutions for schools and students. The company's offerings encompass digital learning content, learning management systems, and professional development programs for educators. Alef Education's commitment to innovation and its strategic partnerships with leading educational institutions have been instrumental in its success.
The Abu Dhabi government has placed significant emphasis on developing the emirate as a hub for innovation and knowledge-based industries. Alef Education's IPO is expected to generate substantial interest from regional and international investors, buoyed by the optimism surrounding the growth potential of the education technology sector. The successful execution of this IPO could pave the way for other UAE-based tech companies to pursue similar capital-raising endeavors on the ADX.