Arab News reported that Construction Products Holding Company, or CPC, has joined forces with Herman Gutmann Werke AG of Germany to set up SAR 350 million aluminum extrusion and composite panel facility in Saudi Arabia.
Mr Mu'taz Sawwaf, CEO of CPC, and Mr Theodoros Tzortzis chairman of the board of Herman Gutmann, signed a MoU to implement a JV in Jeddah by setting up of a state of the art aluminum extrusion facility, as well as for a modern aluminum composite panel production line.
The new facility will be located at Bahrah, near Jeddah and will be ready by the end of 2009. Out of the total production of the new facility, 50% will be for local consumption while remaining 50% will be exported.
Mr Faysal Alaquil director of business development & administration affairs at CPC, said that "The capital investment will be SAR 350 million and it will carry at an initial stage an annual production capacity of about 22,000 tonnes of extruded aluminum, including anodizing and powder coating facilities, as well as an output of some 1.5 million square meters of aluminum composite panel.”
Mr Alaquil further said that "CPC will carry a 65% stake in the investment, while the remaining 35% will be controlled by Herman Gutmann and parent ALCO. Herman Gutmann has been engaged in the aluminum extrusion business for more than 70 years, and is part of the ALCO Group of Companies will also provide the necessary know how and technical support for this investment."
He also noted that CPC, a closed joint stock company, based in Jeddah provides clients with a concept of a one stop shop facility for all their construction needs.
Mr Alaquil stated that "Under the professional and experienced staff, CPC and its subsidiaries provide specialized vital construction materials ranging from precast, ready mix, cut and bend steel, marble and granite, electromechanical systems, and electrical cables just to name a few, along with the administrative logistics support to serve the building industry under one umbrella and through one Industrial Park."
He added that "We give much attention to Saudizatio and we are already approaching various technical institutes in the Kingdom to get trained staff for the purpose. We also give training in house to our Saudi as well as other employees."
(Sourced from Arab News)
