UAE contractor Drake & Scull is ready to get into Saudi Arabia, Egypt

Dubai: After having secured its financial footing in its UAE home market, Drake & Scull International is ready to get into Saudi Arabia and Egypt.

The engineering firm has signed a MoU with El Amar Group to ‘explore and collaborate’ on new projects in two of the biggest construction markets in the MENA territory.

This would see joint exploration of possibilities in large-scale projects in real estate development, infrastructure, and EPC related ones.

“The parties aim to achieve cost efficiencies, improve operational outcomes, and deliver high-quality projects,” said a statement from Drake & Scull. “The collaboration provides access to broader resources and expertise, enhancing their competitive advantage in the market.”

Drake & Scull is gradually getting back into the project space, picking up contracts that will go a long way in securing the sustained financial turnaround it needs. The company had a tortuous phase between 2018-2023, when it nearly ended up in bankruptcy.

A leading developer in Egypt, the El Amar Group has a portfolio of residential, mixed-use, and vacation properties. Egypt itself is going through a major construction activity, and this is where a tie up can come in handy for Drake & Scull. Now, if the two can do the same in Saudi Arabia, currently hosting its share of ambitious once-in-a-generation’ type of projects, then the two will be on to a good thing.

“If Drake & Scull can find sustained cash flow and regional visibility through El Amar, then it can secure a sizeable lift,” said a market analyst.

Prior to 2018, which was when the company went into the tailspin, Drake & Scull did have operations outside of the UAE, including projects done in Egypt. But most of those subsidiary operations came to naught during the 5-year crisis period.

So, what it plans to do with El Amar is a full-scale re-entry into key markets outside of the UAE.

According to Muin El Saleh, CEO of DSI, “This partnership marks a significant step forward for DSI. We are strategically positioned to drive greater value for our stakeholders and capitalize on emerging opportunities in the real estate and infrastructure sectors.”

Drake & Scull, which re-listed on DFM in May 2024 at Dh0.25, is trading at Dh0.365.