Alef Education to raise up to $515 million in stock market float

via X

Alef Education Holding plc has announced the price range for the sale of its shares and the start of the subscription period for its Initial Public Offering (IPO) on the Abu Dhabi Securities Exchange (ADX).

In a statement on Tuesday, the company said that the Offer Price Range has been set between AED 1.30 and AED 1.35 per share, implying a market capitalisation at the time of listing between AED 9.10 billion ($2.48 billion) and AED 9.45 billion ($2.57 billion).

Alef will offer 1.4 billion shares, each with a nominal value of AED 0.01, representing 20 per cent of the company’s issued share capital. As a result, the total Offering size is expected to be between AED 1.82 billion ($496 million) and AED 1.89 billion ($515 million).

All shares to be offered are existing shares held by Tech Nova Investment – Sole Proprietorship LLC and Kryptonite Investments LLC, who reserve the right to amend the size of the Offering at any time before the end of the subscription period subject to applicable laws and the approval of the Securities and Commodities Authority (SCA).

The company expects to distribute a minimum dividend of AED 135 million to all other shareholders for each of its financial years ending 31st December 2024 and 2025, implying a dividend yield of circa 7.42 per cent at the top of the price range and circa 7.14 per cent at the bottom of the price range.

The IPO subscription period started May 28, and is expected to close on June 4 for Individual Investors (First Tranche) and June 5 for Professional Investors (Second Tranche).

The final offer price will be determined following the book-building process and is expected to be announced on June 6. Admission of shares to trading on the ADX is anticipated to occur on or around June 12.

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