By Gavin Davids
Fisheries company expands operations to Saudi Arabia, plans to diversify into real estate
Asmak Trading, the UAE aquaculture company, has announced a net profit of AED72.4m ($19.7m) for the 2010 fiscal year.
The company reported total revenues for the year of $136.9m, it said in statement to UAE state-news agency WAM.
The last year has seen the firm expand its regional presence to Oman and Saudi Arabia, as well as opening further units throughout the UAE.
The firm’s most recent acquisition was a hatchery on the Red Sea in Saudi Arabia, which is expected to boost production capacity from 1,000 tonnes per annum to 3,000 tonnes per annum. The company expects the expansion to give them access to the huge consumer market in Saudi Arabia, while also permitting it easier access to the Levant and Egyptian markets.
In addition, the company bought out Abu Dhabi Land Group, part of Abu Dhabi’s Royal Group, for an undisclosed amount.
Purchased through its subsidiary Emirates Stallions Properties, the fisheries company expects the new addition to generate fresh revenue streams in real estate management and landscaping.
Abu Dhabi Land Group is one of eight design and construction companies under Royal Group, a 60 company conglomerate based in the UAE capital.
In December 2011, the holding company lent Asmak $114.3m through a bond issuance.
Further to that issuance, the firm confirmed it had signed another deal with the group for financing in the form of $57.1m in interest-free, two-year, convertible bonds.