Dubai Cable Company (Ducab), has acquired the UK-based AEI Cables and hinted in an interview that for the firm’s next move it would be considering either an acquisition or the construction of a new factory in Africa, as it looks to consolidate its sales on the continent.
Andrew Shaw, MD at Ducab, told Gulf News: “We want to diversify our products into more specialised areas and move decisively overseas in manufacturing … maybe acquisitions or maybe building a new factory in West, East and North Africa.”
He said that the company is looking at ways to increase its sales in these areas, which it already exports to alongside the GCC countries, Hong Kong, the UK and Australia.
Ducab’s acquisition of specialist cable maker, AEI Cables, included all of the company’s manufacturing assets and its 200 employees, according to the company statement, making the UK facility its first overseas plant and marking its entry into the European market.
Ducab has five manufacturing facilities in Dubai and Abu Dhabi, including one located in Jebel Ali, which supplied the $850m container terminal, and two in the Mussafah industrial area, as well as an additional copper rod factory and high-voltage cable systems factory.
“Our intention is to reinvigorate the operations at AEI Cables, and to expand both home and export sales,” Shaw continued, adding that that AEI Cables is expected to help Ducab add niche and specialist products and quicken “expertise development” in its factories.
The company will continue to manufacture cables for the oil and gas, industrial, shipbuilding, mining, defence and combined transport sectors, while combining its products with those of AEI Cables for export to the UAE, the rest of the GCC, and Africa, according to Shaw.