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Saudi Arabian Industrial Investments Company (Dussur), owned by PIF, Aramco and Sabic, announced the successful signing of 5 new shareholder agreements governing 4 joint ventures and a global acquisition. In addition, there is an agreement with the Local Content Authority and a Memorandum of Understanding with the Human Resources Development Fund "Hadaf".
These agreements and MOU were announced in a special event attended by HRH Prince Abdulaziz Bin Salman, Minister of Energy and Investment, H.E. Bandar Alkhorayef, Minister of Industry and Mineral Resources, H.E. Hamad Al-Sheikh, Minister of Education at King Abdullah Petroleum Studies and Research Center (KAPSARC) on March 29, 2022.
The first JV agreement was signed with Korea's SeAH Changwon Integrated Specialty Steel Co. Ltd (SeAH) to establish the first local seamless stainless steel pipe production plant in the Kingdom of Saudi Arabia in (SPARK). The total investment for the establishment of the joint venture is estimated at USD 270 million. SeAH and Dussur will invest up to USD 140 million with a percentage share of 51% and 49% respectively. The remaining financing for the joint venture will be provided by the Saudi Industrial Development Fund.
The second joint venture agreement was signed between Dussur, Tatweer Educational Transportation Services Company, and CHTC KINWIN Automobile Co. to establish the first state-of-the-art buses manufacturing facility in the Kingdom of Saudi Arabia with an annual production capacity of 3000 busses. This project is in line with the Kingdom's Vision 2030 and is significant as it is the first of its kind in Saudi Arabia and will support the localization of the automotive industry and the development of the automotive ecosystem. The Jeddah-based joint venture company will manufacture and assemble several bus models in the first phase, using three types of engine technologies: Internal combustion engine, pure electrical, and hydrogen fuel cell. The company will primarily serve the growing local demand, which is currently met by imports, and the growing demand for busses for Hajj & Umrah, schools, tourism and public transportation.
The third JV agreement announced at the event was between Dussur and 3D Systems to establish the Center for Innovation and Additive Manufacturing in the Kingdom. The joint venture will provide on-demand printing and application engineering solutions for key industries such as energy, aerospace, defense and healthcare. This initiative will support the Kingdom's path to industrialization by localizing disruptive technologies, contributing to supply security and building unique capabilities for the jobs of the future.
The fourth joint venture agreement was signed between Dussur and the US company Baker Hughes to build a blending and chemical reaction facility with a production capacity of 30,000 tons to produce demulsifiers, scale inhibitors, corrosion inhibitors, biocides, etc. The facility will be located in Jubail City, Saudi Arabia. The range of products produced at the joint venture caters primarily to the needs of refineries, and oilfield service-related companies
Dussur also announced the successful completion of an acquisition agreement with the international private equity consortium BroadPeak Global LP (Broad Peak Global) and Asia Green Fund (AGF) to acquire the Clean Technologies business of DuPont de Nemours, Inc. The new, independent company will be named Elessent Clean Technologies ("Elessent"). It is worth noting that the new company is a global leader in chemical catalysts and advanced equipment, specializing in environmental sustainability technologies in the metals, fertilizer, chemicals and oil refining sectors.
Dr. Raed Al Rayes, CEO of Dussur Company, considered that signing these agreements is a remarkable transformation for Dussur and a practical demonstration of its mission of investing in the industrial sector in the Kingdom,and bring technologies and know-how to leverage the Kingdom's existing resources and create greater value. "At Dussur we measure the development impact of projects before investing. The Dussur portfolio has managed to attract more than one billion Saudi rial worth of foreign investment and create more than 2,600 direct jobs by 2030, with an employment nationalization of no less than 65%, reaching as high as 90% in some projects, in addition to the expected added value to the gross domestic product (GDP), which amounts to 50 billion Saudi rial in the next twenty years" added Dr. Al Rayes.
The Saudi Arabian Industrial Investments Company (Dussur) announces 5 new investment deals
Saudi Arabian Industrial Investments Company (Dussur), owned by PIF, Aramco and Sabic, announced the successful signing of 5 new shareholder agreements governing 4 joint ventures and a global acquisition. In addition, there is an agreement with the Local Content Authority and a Memorandum of Understanding with the Human Resources Development Fund "Hadaf".
These agreements and MOU were announced in a special event attended by HRH Prince Abdulaziz Bin Salman, Minister of Energy and Investment, H.E. Bandar Alkhorayef, Minister of Industry and Mineral Resources, H.E. Hamad Al-Sheikh, Minister of Education at King Abdullah Petroleum Studies and Research Center (KAPSARC) on March 29, 2022.
The first JV agreement was signed with Korea's SeAH Changwon Integrated Specialty Steel Co. Ltd (SeAH) to establish the first local seamless stainless steel pipe production plant in the Kingdom of Saudi Arabia in (SPARK). The total investment for the establishment of the joint venture is estimated at USD 270 million. SeAH and Dussur will invest up to USD 140 million with a percentage share of 51% and 49% respectively. The remaining financing for the joint venture will be provided by the Saudi Industrial Development Fund.
The second joint venture agreement was signed between Dussur, Tatweer Educational Transportation Services Company, and CHTC KINWIN Automobile Co. to establish the first state-of-the-art buses manufacturing facility in the Kingdom of Saudi Arabia with an annual production capacity of 3000 busses. This project is in line with the Kingdom's Vision 2030 and is significant as it is the first of its kind in Saudi Arabia and will support the localization of the automotive industry and the development of the automotive ecosystem. The Jeddah-based joint venture company will manufacture and assemble several bus models in the first phase, using three types of engine technologies: Internal combustion engine, pure electrical, and hydrogen fuel cell. The company will primarily serve the growing local demand, which is currently met by imports, and the growing demand for busses for Hajj & Umrah, schools, tourism and public transportation.
The third JV agreement announced at the event was between Dussur and 3D Systems to establish the Center for Innovation and Additive Manufacturing in the Kingdom. The joint venture will provide on-demand printing and application engineering solutions for key industries such as energy, aerospace, defense and healthcare. This initiative will support the Kingdom's path to industrialization by localizing disruptive technologies, contributing to supply security and building unique capabilities for the jobs of the future.
The fourth joint venture agreement was signed between Dussur and the US company Baker Hughes to build a blending and chemical reaction facility with a production capacity of 30,000 tons to produce demulsifiers, scale inhibitors, corrosion inhibitors, biocides, etc. The facility will be located in Jubail City, Saudi Arabia. The range of products produced at the joint venture caters primarily to the needs of refineries, and oilfield service-related companies
Dussur also announced the successful completion of an acquisition agreement with the international private equity consortium BroadPeak Global LP (Broad Peak Global) and Asia Green Fund (AGF) to acquire the Clean Technologies business of DuPont de Nemours, Inc. The new, independent company will be named Elessent Clean Technologies ("Elessent"). It is worth noting that the new company is a global leader in chemical catalysts and advanced equipment, specializing in environmental sustainability technologies in the metals, fertilizer, chemicals and oil refining sectors.
Dr. Raed Al Rayes, CEO of Dussur Company, considered that signing these agreements is a remarkable transformation for Dussur and a practical demonstration of its mission of investing in the industrial sector in the Kingdom,and bring technologies and know-how to leverage the Kingdom's existing resources and create greater value. "At Dussur we measure the development impact of projects before investing. The Dussur portfolio has managed to attract more than one billion Saudi rial worth of foreign investment and create more than 2,600 direct jobs by 2030, with an employment nationalization of no less than 65%, reaching as high as 90% in some projects, in addition to the expected added value to the gross domestic product (GDP), which amounts to 50 billion Saudi rial in the next twenty years" added Dr. Al Rayes.
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About Dussur:
The Saudi Arabian Industrial Investments Company ("Dussur") is a strategic industrial investment firm that partners with world-class experts to form state-of-the-art joint ventures including M&A in the industrial sectors. Dussur executes regional and international industrial investments, creating value for its partners and shareholders.
Learn more at www.dussur.com.