Today's Edition
A.SREENIVASA REDDY (ABU DHABI)
Alpha Data, a home-grown IT services company based in Abu Dhabi, has come a long way since its founding in 1981 to become a major player in the sector. Now, the company—established by Jordanian engineer Fayez Ibbini, who serves as its Chief Executive Officer (CEO)—has announced its intention to list on the Abu Dhabi Securities Exchange (ADX).
In an exclusive interview with Aletihad, Ibbini reflected on the journey leading up to the IPO. “It has been a long journey, and it has finally come to fruition. There were several notable technology trends that emerged and shaped our journey along the way,” he said.
The UAE has witnessed a surge in IPO activity over the past few years, and according to S&P Global’s outlook for 2025, this trend is expected to continue across the GCC.
Alpha Data is kicking off the year with the first IPO of 2025.
The decision to go public was not taken lightly. “We are proud to have built the business on 40 years of nearly uninterrupted growth and solid business fundamentals. This gives us the confidence to offer the business to the public, allowing them to take part in our success story,” Ibbini explained.
Why now, after 40 years? “As a founder, I have all the passion and excitement. Technology is almost in my DNA. But you cannot expect all involved family to have the same passion, so we want to ensure effective succession planning,” Ibbini said.
The IPO is a way to ensure long-term sustainability. “You need a professional setup that can operate without the original owners. The IPO will take us there,” he added.
Alpha Data has already adopted robust governance and transparency measures to ensure its longevity. “All the guardrails are in place. Transparency and governance ensure longevity,” Ibbini asserted.
The IPO comes at a pivotal moment when artificial intelligence (AI) is transforming the technology sector. “Technology comes in waves,” Ibbini said. “It was PCs back in the 1980s when we launched the business. Then came networking, cloud computing, and everything else. Now, the biggest wave of all time has arrived in the form of AI.”
Highlighting AI’s impact, Ibbini remarked: “The beauty of AI is that when you adopt it, you experience enhanced productivity immediately. You may have noticed this on a personal level, but at an organisational level, it is even more powerful.”
Companies embracing AI undergo radical transformation. “You get a lot of hidden tailwinds that make your organisation far more effective and productive. Those who stand back and wait will find themselves left behind,” Ibbini warned.
Despite its four decades in business, Alpha Data continues to expand. “Even though we are 40-plus years young, we are still growing. Our growth, which has ranged between 15% and 25%, will continue as more people adopt AI technology,” Ibbini said.
The company has also expanded into Saudi Arabia and Qatar, both of which are witnessing high demand for tech solutions. “We have a huge talent pool of 1,500+ employees, and at last count, it was over 1,600. We can deploy them wherever needed. The Saudi market, in particular, has a huge appetite for talent,” he added.
However, Ibbini stressed that Alpha Data remains primarily a UAE-centric company – but looking to tap more regional opportunities. “For now, please treat us as the UAE story. We are evolving into a regional story, but more than 90% of our revenues will continue to come from the UAE for the foreseeable future.”
When asked about what differentiates Alpha Data, Ibbini pointed to the company’s comprehensive solutions. “Our engineers have lived through all the major technology waves—networking, cloud, IoT, AI. We have adopted all these pieces that form digital transformation.”
He says fragmented approach does not work. “Technology cannot be done in a piecemeal manner. We can go to any client, hold their hand, and take them from A to B to C to D until they are a successfully transformed company.”
Alpha Data is offering 40% of its shares to the public. Addressing the decision to list a higher-than-usual percentage, Ibbini said: “We were encouraged to go for 40% by financial institutions. A greater percentage of shares being floated attracts large institutional investors and increases market liquidity.”
Alpha Data has long been a profitable and dividend-paying company. “Strictly speaking, we do not need to raise capital from the market to finance our expansion. We do not need to build factories—our asset is intellectual property,” Ibbini said.
Two selling shareholders — Bin Hamoodah Company (an Abu Dhabi-based Emirati family business) and Ibbini Investment Company — are offloading 40% of their respective stakes. Bin Hamoodah owns two-thirds of the company, while Ibbini Investment owns one-third. “We are offloading 40% of the stake on a pro-rata basis,” Ibbini confirmed.
One of Alpha Data’s biggest strengths is that it is a debt-free company. “We have not used the lines of credit available to us, except for occasional seasonal borrowings to meet contingencies,” Ibbini said.
On the matter of anchor investors, he revealed: “We have at least four anchor investors who have expressed interest. I cannot name them at this stage as discussions are still ongoing.”
With 2,200 clients across government and non-government sectors, Alpha Data serves some of the biggest names in the UAE.
Unlike many firms, acquisitions have never been part of its strategy. “A lot of things look shiny from the outside, but when you look deeper, you find too many complexities or liabilities. We have always found it easier to build from the ground up,” Ibbini explained.
As Alpha Data embarks on its IPO journey, the company remains focused on innovation, AI adoption, and organic growth, positioning itself as a cornerstone of the UAE’s digital transformation.
