Dubai: Dubai Investment (DI) will next week launch a glass company to invest in, acquire and manage glass companies around the world, a top official said yesterday.
Khalid Kalban, Dubai Investment's managing director and chief executive, told Gulf News that the regional property boom was creating major demand for glass. The new company will announce its investment strategy in days, he added.
"Dubai Investment's new subsidiary is hungry for global and regional future acquisitions," Kalban said. "The company will manage all investments in the glass industry, and will eye new development chances.
"The glass manufacturing industry is currently struggling to keep up with the glass demand created by the booming property development sector in the region," he said.
DI has completed the acquisition of Saudi American Glass Company (SAGC) following more than 18 months of negotiations and is attempting to buy another glass company in the kingdom, Kalban added.
Latest addition
SAGC will operate as a wholly-owned subsidiary of Dubai Investments.
With an annual production capacity of 3 million square metres, Saudi-based SAGC is one of the largest Middle Eastern glass manufacturers. It is the latest addition to DI's expanding portfolio of subsidiaries and the acquisition is expected to increase DI's market penetration.
"We are negotiating with another company to acquire a new glass manufacturing plant in Riyadh," Kalban said. "Acquiring a high-production, well-entrenched company such as Saudi American Glass Company represents a golden opportunity for us," he added.
