Abu Dhabi: Emirates Stallions Group (ESG), a leading conglomerate in the Workforce Solutions, Construction, and Real Estate sectors, and a subsidiary of International Holding Company (ADX: IHC), announced the purchase of a 16-year agreement for the usufruct rights of 13,000 square meters of warehouse space in Saudi Arabia.
According to Emirates News Agency, ESG, through its subsidiary Vision Furniture and Decoration Factory, acquired the usufruct rights of an industrial contract with the Saudi Authority for Industrial Cities and Technology Zones (MODON). This includes two warehouse facilities measuring 7,448 square meters and 5,991 square meters. This acquisition marks a significant expansion of ESG's operations in Saudi Arabia and the wider GCC region, with the new warehouse space expected to be operational by the third quarter of 2025.
Matar Suhail Al Yabhouni Al Dhaheri, Chairman of ESG, emphasized that the agreement represents a strategic milestone for the group by strengthening its presence in Saudi Arabia. It enhances ESG's ability to provide high-quality in-house solutions, reinforcing the group's commitment to thoughtful expansion and delivering value to shareholders and clients. The expansion aligns with ESG's mission of delivering excellence in the interior design and manufacturing sectors.
ESG's CEO, Kayed Ali Kharma, expressed excitement about the expansion and the opportunities it will create, particularly in Saudi Arabia. The new warehouse space will enable ESG to better serve clients and meet the growing demand in the region for interior design and manufacturing, reinforcing the group's role in delivering excellence through its subsidiaries.
This acquisition not only advances ESG's footprint in the GCC but also supports its strategy to expand in the interior design and manufacturing sectors. It will allow the group to meet rising local demand more efficiently while reducing lead times and logistical complexities.