Development bank the Arab Petroleum Investments Corporation (APICORP) has announced the acquisition of a 30 per cent stake in Bahrain’s Falcon Cement Company (FCC)
APICORP, which was established by the 10 members of the Organisation of Arab Petroleum Exporting Countries in 1975, said FCC was Bahrain’s largest and only integrated cement producer.
It said the company had a capacity for 1,000 tonnes a day and was in the “advanced stages” of doubling production to 2,400 tpd in 2017.
Demand is expected to come from Bahrain’s $72.7bn of mega projects inclduing the $3bn King Hamad Causeway, $5bn Bahrain Petroleum Company upgrade and expansion of the Sitra refinery, the $3bn Aluminium Bahrain Line 6 smelting project and Bahrain Airport Company’s $1.1bn airport expansion project.
“We are delighted to acquire a 30% stake in FCC, Bahrain’s largest cement producer. We believe this is a high growth sector for Bahrain and the investment assists us in diversifying our investment portfolio,” said Dr Raed Al Rayes, deputy CEO and general manager of APICORP.
The deal was completed with regional partner, GFH Financial Group.
Abu Dhabi Financial Group’s Integrated Capital also bought a 10 per cent stake in FCC this year.