1.40 PM Thursday, 28 March 2024
  • City Fajr Shuruq Duhr Asr Magrib Isha
  • Dubai 04:57 06:11 12:27 15:53 18:37 19:51
28 March 2024

DSI to complete 2 Saudi acquisitions in Q4

Drake & Scull Vice Chairman and CEO Khaldoun Rashid Tabari (FILE)

Published
By Staff

Drake & Scull International (DSI), a leading regional construction giant, is eyeing two acquisitions in Saudi Arabia in the fourth quarter this year.

According to a statement posted on Dubai Financial Market website, the company has signed letter of intent (LoI) with one Saudi company specializing in mechanical, electrical and plumbing. The company is expected sign takeover deal in the next 30 days.

The Dubai firm also intends to finalise the acquisition of second company, which is specializing in civil construction, by the end of this year.

“We made a commitment to our shareholders when Drake & Scull International listed on the Dubai Financial Market, and are pleased that we are now in a position to deliver on that promise,” said Khaldoun Tabari, CEO of DSI.

“Our first acquisition in the Kingdom is a key milestone for DSI which will significantly contribute to our momentum as we venture forth in our growth strategy,” he said.

In 2009, DSI expanded its operations by acquiring two companies, in line with the company’s growth strategy: ‘Passavant-Roediger’, a German global developer of wastewater, water and sludge treatment technologies with a presence in 13 countries across Europe, MENA and Asia with over 5,000 installations, and Kuwait-based ‘Drake & Scull International for Electrical Contracting’ (DSK), a prominent player in Mechanical, Electrical & Plumbing contracting in Kuwait.

In 2010, the DSI established two new business subsidiaries Drake & Scull Water and Power (DSWP) and ‘Drake & Scull Construction (DSC), which was established to manage and control the regional civil contracting expansion in addition to the existing operations in Dubai and Abu Dhabi. 

In April 2010, DSI acquired Drake & Scull International Qatar which carries out MEP works in Gulf country.
A DSI spokesperson refused to share further details on acquisitions.

DSI chief executive officer Khaldoun Rashid Tabari recently said that the company has allocated Dh500 million to Dh700 million budget for acquisitions in the Kingdom of Saudi Arabia.

Tabari said the company is aiming to increase its backlog of work to nearly Dh6 billion by the end of the year and is pushing ahead with its international expansion plans.