ALEC Engineering IPO Sells Out in Dubai, Valuing Firm at $1.91B

ALEC Engineering & Contracting LLC's initial public offering (IPO) has been fully subscribed, valuing the contractor at $1.91 billion, according to Bloomberg.com. The IPO, potentially raising up to $381 million, is part of Dubai's privatization initiative intended to leverage the region's robust construction sector. Investor demand exceeded the shares offered, indicating strong market confidence in Middle Eastern listings. The Investment Corp. of Dubai is divesting a minority stake, offering 1 billion shares, which represent a 20% ownership position in ALEC Engineering & Contracting LLC. Shares were priced between 1.35 and 1.40 dirhams (approximately $0.37 to $0.38) per share. This successful sale underscores the efficacy of Dubai’s strategy to capitalize on favorable economic conditions and heightened construction activity. With shares priced at the upper end of the range, ALEC Engineering & Contracting LLC achieves a total market valuation of $1.91 billion. The IPO showcases Dubai's strategic privatization program, designed to benefit from significant construction and infrastructure development across the Middle East, reflecting strong investor confidence and regional market strength.