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Danube invests AED 30 million in Bahrain as part of regional expansion

Danube Building Materials FZCO, a leading player in the construction, interior decoration, and shop-fitting industry, has announced its regional expansion into Bahrain with an investment of AED 30 million. The move comes as demand for construction materials is expected to soar to USD 9.2 million in 2007 for the Northern Gulf region, which includes Bahrain, Saudi Arabia, Qatar and Kuwait. The UAE-based company will leverage its comprehensive product portfolio to cater to the demand for high-quality and specialized construction materials in the region.

Danube's state-of-the-art facility, built on a 250,000 sq. ft. plot in the industrial area of Salmabad, will host the company's industry-leading products including hardwood, exotic veneer, laminates, aluminium, glass, and the latest Fire rated solutions. Hardware and sanitary products from leading international manufacturers will occupy a significant portion in the facility, which will also house the dry kiln services provided by Danube.

"Danube's expansion into Bahrain is part of our regional growth strategy to exploit high market demand for our products. We initially opened a showroom in Salmabad in November 2006, which met with great success owing to an enormous demand for our products ranging from hardwood and exotic veneers, hardware, and sanitary wares, to steel, aluminium and glass products," said Rizwan Sajan, Chairman, Danube.

"Extensive demand compelled us to expand and within a month of opening in Bahrain, we were able to acquire a new plot for a larger facility, which would enable our consumers easier access to an extensive and innovative selection of products, including the House of Laminates, which was successfully launched during the recently concluded Dubai Woodshow 2007," added Sajan.

The expansion into Bahrain was fuelled by a demand for Danube's products in addition to the country's stable industrial and financial infrastructure, and strategic location in the Northern Gulf region. Bahrain serves as a gateway to Saudi Arabia, which represents a huge potential market; and the ongoing construction of a bridge linking Bahrain to Qatar will increase opportunities for the Doha market as well. Further, Danube has been successful in acquiring contracts to supply building materials in some of Bahrain's major infrastructure projects including the Financial Harbour, Durratul Bahrain, City Centre, Amwaj Islands, King Hamad Hospital, Fontana Towers, Pearl Towers and the Bahrain Chamber of Commerce.

"Bahrain offers a major opportunity for us with its massive infrastructure development, and its prime location in the Northern Gulf region. Recent studies have predicted a surge in the demand for our products in the region and we are confident of our prospects with the expansion of our facilities in Bahrain," concluded Sajan.

Danube Building Materials is a leading provider of building materials to the booming construction and real estate sector in the Middle East. The company is based in Jebel Ali and has operating offices in Deira, Salahadin, Abu Dhabi, Al Ain, Sharjah, Muscat, Bahrain and Doha. Danube has witnessed consecutive growth over the years and hit 50 per cent growth in 2006 thus becoming one of the largest building materials suppliers in the region. The company recently had a successful participation in Dubai Woodshow where it presented the House of Laminates, the world's largest collection of laminates.

 

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