Hydra Properties buys into RAK Cement

Hydra Properties has acquired a 20% stake in Ras Al Khaimah Cement Company as it seeks to diversify its investments within sectors related to real estate.

Hydra CEO Sulaiman Al Fahim said the company would focus on buying shares in firms dealing in building materials as part of its property development strategy.

“Our vision is to expand Hydra Properties in a greater way and investing in the stock of Ras Al Khaimah Cement Company represents one such move in the right direction” he said in a statement.

The UAE is set to become the GCC’s largest producer of cement overtaking Saudi Arabia with expansion plans in the pipeline for plants and production lines.

Cement production is one of the oldest manufacturing industries in the UAE with the emirate of Ras Al Khaimah starting in 1975 and continuing to be a major producer today.

Dubai, Sharjah, Al Ain, Fujairah, Ajman and Umm Al Qaiwain also own factories. The UAE's booming construction industry, which includes numerous mega-projects, has led to demand for cement which is being met by imports from India, China, Iran and Egypt to supplement the supply from domestic production.

Holding a stake in the cement producer would ensure Hydra a supply on a priority basis to meet its construction needs, Al Fahim said.

The company says it plans to increase its share by the end of 2007.

Print | Email | Discuss this article |

USER COMMENTS (0 COMMENTS)

POST A COMMENT

CLICK HERE TO POST A COMMENT

Add your Comment All posts are sent to the administrator for review and are published only after approval. ArabianBusiness.com reserves the right to remove any comment at any time for any reason. Please keep your responses appropriate and on topic.
Name *
Remember me on this computer
Email *	(Your email address will not be published)
City
Country
Subject *
Comment *
Notify me of further comments
Security Code *
Please click post only once - your comment will not be published immediately.