Dubai: The Offset Programme Bureau (OPB) yesterday said that its wholly-owned subsidiary - Tawazun Holding - has acquired the assets of Caracal International, the first national weapons manufacturer in the UAE.

Under the terms of the agreement, Tawazun will acquire Caracal's assets and subsidiaries, including the German gunmaker Merkel, which has production lines in Germany and the US, as well as a distribution network spread across Europe and America.

Tawazun will retain Caracal's operations and management team.

"We are very pleased with this acquisition, and we welcome Caracal staff and customers to Tawazun. Together, we will offer promising opportunities in small arms manufacturing," said Mohammad Saif Al Mazroui, chief executive officer of OPB.

"Through this acquisition, Tawazun will consolidate its position as a leader in the field of industrial and commercial investment. It is part of the company's strategy to enter new markets and to create viable strategic partnerships that will add value to the UAE economy," he added.

Strategy

Tawazun seeks to pursue a targeted acquisition strategy to grow its capabilities and to efficiently acquire, integrate, and introduce new products and service offerings to the UAE markets and beyond.

"This acquisition will further strengthen Tawazun's portfolio and facilitate its progression into becoming a premier investment company and a partner of choice to industry leaders, both locally and abroad," said Saif Mohammad Al Hajeri, Director of the Offset Ventures Unit at OPB.

"Caracal is certain to benefit from its new position within Tawazun Holdings. I believe that our company's successful beginning will now be taken to the next level via this excellent collaboration. Caracal's employees and associates are delighted with Tawazun's strategy," said Hamad Al Neyadi, managing director of Caracal.

OPB was established in 1992 to oversee the offset programme in the UAE. It is mandated to set up joint ventures, as well as to invest in commercial, industrial, financial, and educational projects and to create investment funds in the UAE and abroad.