International Holding Company (IHC) subsidiary, Alpha Dhabi Holding, one of the fast-growing investment holding companies in the Middle East, plans to sell shares through an initial public offering and list on the Abu Dhabi Securities Exchange (ADX) on June 27.
The offering is expected to comprise a sale of existing shares to individuals and other investors in the UAE and to qualified institutional investors, according to the company’s statement. Alpha Dhabi has $2.72 billion in paid-up capital.
“As a public company we will have a stronger capital structure to invest in additional verticals, expand commercially and accelerate growth both organically and through acquisitions,” Mohamed Al Rumaithi, chairman of Alpha Dhabi Holding, said.
Established in 2013, Alpha Dhabi has investments in different sectors including industries, healthcare, construction and hospitality. The company’s investment portfolio, local and international, includes 25 subsidiaries and 40,000 employees.
Earlier this year, the company bought a 12.21 percent stake in Aldar Properties from Mubadala Investment Company for $953 million. It also acquired assets worth $0.68 billion from privately held Murban Energy.
Alpha Dhabi’s “business is growing fast, highlighted by the 30 percent jump in first-quarter revenue and gaining a listing on a major stock exchange will enhance its already strong platform and reputation”, Syed Shueb, chief executive and managing director of IHC said.
The parent company of Alpha Dhabi, IHC reported a 1,233 percent increase in net profit for the first quarter of 2021 as revenue surged on the back of recent acquisitions.
IHC’s industrials vertical owns stakes in several businesses, including Quantlase Imaging Lab, Tamouh Healthcare, Pure Health and asset management company Eltizam Group. Earlier this year, the company said it will list three of its subsidiaries on the secondary market of the ADX.
Abu Dhabi’s stock market has been registering a rise in listings. Yahsat, the satellite operator owned by Mubadala Investment Company, also plans to sell at least 30 percent of its shares and list on the ADX in the third quarter of this year.