Integrated Annual Report 2024
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At Alef Education, we believe that organisational integrity begins with our internal stakeholders and inculcation of a culture of ethical conduct within the Company. This is why we have policies, process, and dedicated functions in place to ensure ethical decision-making, transparency, and accountability at every level of the Organisation.
The Nomination and Remuneration Committee (NRC) oversees determination and review of remuneration packages for both the Board of Directors and Executive Management.
The NRC ensures remuneration policies are transparent, competitive, and benchmarked against industry peers, both locally and globally. Compensation for Executive Management, similarly, is reviewed annually to ensure alignment with both Company performance and expectations, and market standards. The detailed mechanisms behind calculation of remuneration are outlined in the Alef Education Remuneration Policy. The Policy outlines compensation packages for the Board and Executive Management, detailing standards that would enable the Company to attract and retain qualified professionals to achieve its strategic goals.
For the year 2024, the proposed remuneration for the Board of Directors is AED 3,000,000 (to be approved at the Annual General Meeting). There are no bonus or allowances paid/proposed for Board Members other than the above remuneration.
The remuneration of key management personnel during the year was as follows:
| 31 December 2024 | |
| Short term benefits | 9,183,846 |
| Employee’s end of service benefits | 282,192 |
| Total | 9,466,038 |
| Number of key management personnel | 6 |
Key management personnel includes the following positions:
1. Chief Executive Officer
2. Strategic Advisor
3. Chief Financial Officer
4. Chief Growth Officer
5. Chief Technology Officer
6. Chief Product Officer
The following disclosures are defined by the Company’s Related Party Transactions Policy that prioritises transparency and maintains compliance with UAE regulations. The policy establishes clear rules for identifying, managing, reporting, and disclosing transactions involving related parties within the Board, Executive Management, and Alef Education employees.
During the year 2024, the Group has purchased the business of Arabits from SAAL Operating Systems – Sole proprietorship LLC, a related party, for an amount of AED 35.3 Mn.
| 31 December 2024 | |
| Interest income from a related party | 2,636,820 |
| Revenue from contracts with customers | 266,602 |
| Recharge of expenses to related party | 112,772 |
| Meeting date | As of 12 June 2024 | Change in shareholding 2024 | As of 31 December 2024 | Status of ownership |
| H.E. Ahmed Ali Al Sayegh | 740,740 | – | 740,740 | Direct |
| Dr. Saeed Abdulla Mohamed Bin Mutlaq Alghfeli | 740,740 | – | 740,740 | Direct |
| Mr. Omar Abdulla Al Hashmi | 7,686 | – | 7,686 | Direct |
The Company’s internal controls are driven by an Internal Audit Department, reporting to the ARCC, which ensures independent, objective assurance over the systems employed. It also provides for audit activities that are designed to add value and improve the Company’s operations.
In 2024, the Audit, Risk, and Compliance Committee (ARCC) provided oversight on internal control and risk management processes, including approval and monitoring of the Internal Audit Plan and review of audit reports and findings. The Board of Directors also reviewed and updated the Company’s Fraud Risk Policy, in keeping with a broader focus on better assessing corporate risks and putting in place remediation plans for the same.
The Internal Audit Department applies a risk-based approach in addition to cyclical audit coverage to identify areas to be audited annually. It carries out an annual risk assessment to develop the annual audit plan for the following year which is approved by the Audit, Risk and Compliance Committee. This takes into consideration the major controls in place and their design effectiveness, including business conduct risks and processes. All recommendations and associated management actions resulting from these reviews are subject to a quarterly follow-up monitoring and reporting process to ensure the timely close-out of audit actions.
The Internal Audit Department ensures compliance with the Company policy, procedures, and SCA Regulations.
Formal risk reviews are performed on a regular basis across various business units and functions, with the support and guidance of the ERM Department. The results of these reviews are used to assess the Company’s risk profile and exposure, identify current and emerging risks that are critical to the Group’s performance and ability to achieve its strategic objectives and develop management plans to maintain risks within acceptable levels. The outcomes of these reviews are discussed with the Audit, Risk, and Compliance Committee (ARCC) and the Board of Directors.
In addition to the internal controls we employ, Alef Education recognises the critical role of external auditors in ensuring the integrity of our financial statements. The ARCC is the key governing body that recommends external auditors, who are then appointed by the General Assembly (GA). Selection is based on factors like reputation, experience, and fees.
External auditors provide an opinion on financial statement fairness, verify asset ownership, assess internal controls, and report violations. There are several checks and balances in place, as mandated by the Compnay’s CG manual, that ensure External Assurers maintain independence and avoid potential conflicts of interest. The ARCC is tasked with evaluating the auditor's performance on an annual basis, in consideration with inputs from the Head of Internal Audit. The appointed Auditor's term is one year, and is subject to annual renewal provided that such term does not exceed six (6) consecutive years (during which the partner in charge shall be changed after three (3) years). The External Auditor can be reappointed only after two (2) years have lapsed since the termination of its appointment.
Details of the appointed External Auditor for the year 2024 are as follows:
| Name of the audit firm | Ernst & Young – Middle East |
| Name of the Partner Auditor | Walid J. Nakfour |
| Number of years spent as the Company’s External Auditor | 1 |
| Number of years the Partner Auditor spent auditing the Company’s accounts | 1 |
| Total value of audit and review fees for 2024 (in AED) | AED 276,500 |
| Total value of audit of special purpose Consolidated Financial Statements for IPO | AED 120,000 |
| Total value to provide underwriter's comfort letters for IPO | AED 1,138,475 |
| Statement of other services that an External Auditor other than the Company Auditor provided during 2024 (if any) | None |
Alef Education's Code of Conduct (CoC) establishes the ethical standards expected of all employees, consultants, and representatives; and governs our commercial activities while promoting a culture of honesty and accountability. This code provides guidance on ethical risks, mechanisms for reporting misconduct, and reinforces our commitment to integrity across our operations.
The Human Resources department is responsible for administering the CoC, including training and communication, and serves as the primary point of contact for ethical concerns. These training and awareness programmes complement the guidelines set out in the CoC, and serve to raise awareness, drive ethical conduct, and deter wrongdoing. Violations of the CoC may result in disciplinary action, including termination. Compliance is monitored through audits and our whistleblowing mechanism.
We expect all parties involved in the Company’s operations to abide by the policies and regulations, and to act in the Company’s best interests.
Our commitment to practicing sound corporate governance is reflected in a number of comprehensive policies that have been drafted, approved, and are implemented across our organisation. The Alef Education Corporate website presents details of pertinent policies 
.
The following graph and tables present the Company’s closing share price at the end of each month during the year 2024 and share performance against market index as of 31 December 2024:
| Date | ALEF |
Price (FTSE ADX General (FTFADGI) |
ALEF (Rebased to 100) |
FTSE ADX General (FTFADGI) (Rebased to 100) |
| June 20 24 | 1.23 | 9,060.73 | 100 | 100 |
| July 2024 | 1.15 | 9,338.96 | 93 | 103 |
| August 20 24 | 1.24 | 9,284.93 | 101 | 102 |
| September 2024 | 1.17 | 9,425.49 | 95 | 104 |
| October 20 24 | 1.18 | 9,327.92 | 96 | 103 |
| November 2024 | 1.18 | 9,234.80 | 96 | 102 |
| December 2024 | 1.15 | 9,419.00 | 93 | 104 |
| Percentage of Shares Owned | ||||||
| No. | Shareholder Classification |
Individuals (%) |
Companies (%) |
Governments (%) |
Total (%) |
|
| 1. | Local | 4.7 | 87.5 | 1.0 | 93.2 | |
| 2. | Arab | 0.8 | 1.3 | – | 2.1 | |
| 3. | Foreign | 0.7 | 4.0 | – | 4.7 | |
| 4. | Total | 6.2 | 92.8 | 1.0 | 100.0 | |
Shareholders who own 5% or more of the Company’s capital (as of 31 December 2024)
| No. | Name |
Number of Shares Owned |
Percentage of Shares Owned in the Company’s Capital (%) |
| 1. | Technova Investment – Sole Proprietorship L.L.C. | 4,760,000,000 | 68 |
| 2. | Kryptonite Investment L.L.C. | 840,000,000 | 12 |
Shareholder distribution by volume of ownership (as of 31 December 2024)
| No. | Ownership of Shares (share) |
Number of Shareholders |
Number of Shares Owned |
Percentage of Shares Owned from Capital (%) |
| 1. | Less than 50,000 | 15,690 | 56,369,044 | 0.8 |
| 2. | From 50,000 to less than 500,000 | 528 | 85,194,014 | 1.2 |
| 3. | From 500,000 to less than 5,000,000 | 208 | 255,283,131 | 3.7 |
| 4. | More than 5,000,000 | 49 | 6,603,153,811 | 94.3 |
Fundamental events and important disclosures that the Company encountered during 2024
| Financial Performance and Growth |
|
| Contract Extensions and New Business Wins |
|
| Product Development and Expansion |
|
| Strategic Partnerships and International Growth |
|
| Operational Efficiencies and Cost Management |
|
| Shareholder Value and Dividend Policy |
|
Alef Education is proud to have a strong core team consisting of 5% Emirati nationals on board; and we are actively working to increase this representation in the years ahead. We partner with leading agencies and educational institutions to attract top local talent as part a concerted Emiratisation drive.
|
2022 % |
2023 % |
2024 % |
|
| Emiratisation | 3.92 | 6.10 | 5.43 |
Alef Education is committed to effective communications with its shareholders.
Alef Education announces its results to the ADX and its shareholders by way of Management Discussion & Analysis, quarterly Condensed Consolidated Interim Financial Report and annual financial statements.
Significant matters relating to share trading or business development are disclosed to the ADX, and the general public by way of market disclosures and announcements in accordance with the related provisions of applicable laws and regulations, in addition to press releases and postings on Alef Education’s website.
Alef Education’s investor relations program includes, but is not limited to:
A section dedicated to investors is available on Alef Education’s website, which comprises annual reports, quarterly results, corporate governance reports, investor presentations and share price information.
Investor Relations Contact Point
Noor Arafat
050 927 1556
ir@alefeducation.com