UAE Startups

Alpha Data’s IPO Sees Strong Debut, Offering Growth and Income Potential

Alpha Data’s shares rose nearly 7% on debut after raising $163 million in its IPO. With a market cap of $408 million, the company is positioned for growth in the digital infrastructure sector. It also announced a high dividend yield of 8.7% for 2025, attracting both growth and income investors.

Alpha Data, a UAE-based technology services company, raised 600 million dirhams ($163 million) by selling a 40% stake in its Abu Dhabi IPO. The stock debuted with a nearly 7% gain, opening at AED 1.53 and closing at AED 1.60, signaling strong market demand and positive sentiment.

The IPO, the first of 2025 in the UAE, attracted significant interest, oversubscribed by double digits. The company, with a market capitalization of AED 1.6 billion ($408 million), operates in the high-growth digital infrastructure and tech sector, aligning with the UAE government’s digital transformation agenda.

Alpha Data’s recurring revenue model and solid presence in the tech sector made it an attractive investment. The company also announced a dividend payout of AED 130 million for 2025, yielding 8.7%, which is one of the highest among listed UAE companies. This combination of capital growth potential and steady yield appeals to both growth and income-oriented investors.

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