11 February 2014
Dubai-based builder Arabtec Holding plans to set up five new subsidiaries in a bid to expand into new markets and infrastructure projects.
Two of the new units will focus on infrastructure projects inside and outside the UAE, one will focus on water and energy projects and one will concentrate on the Egyptian market, it said in a bourse statement.
The move follows Arabtec’s decision to evolve from a local contractor into a multinational development company as its finances are boosted by a recovery in Dubai’s property market and its relationship with Abu Dhabi state fund Aabar, which owns a 22% stake.
Hasan Abdullah Ismaik, Arabtec CEO, has been expanding the firm since his appointment last year
Arabtec will also set up an investment firm, Arabtec Capital, to provide financial services both to other Arabtec units and outside companies.
Arabtec has been expanding aggressively since the arrival of a new chief executive, Hasan Abdullah Ismaik, early last year.
Earlier this year Arabtec announced its intention to open a regional headquarters in Belgrade, the capital of Serbia, to drive its expansion into the Balkan region and an office in the Iraqi capital, Bagdad, to capitalize on the country’s high potential in oil and gas sector.