Al Batha Group in Global Acquisition, buys 40 per cent of Malaysian Realty Major, Bukit Kiara.

Summary: In a strategic initiative to expand its footprints across international markets, the UAE based business conglomerate, Al Batha Group today announced acquisition of 40 per cent of Bukit Kiara Capital Sdn Bhd of Malaysia, a boutique Real Estate Developer.

Al Batha Group in Global Acquisition, buys 40 per cent of Malaysian Realty Major, Bukit Kiara* Partnership leads to formation of Al Batha Bukit Kiara Holdings Sdn Bhd * New entity to undertake property developments in Malaysia and the UAE

In a strategic initiative to expand its footprints across international markets, the UAE based business conglomerate, Al Batha Group today announced acquisition of 40 per cent of Bukit Kiara Capital Sdn Bhd of Malaysia, a boutique Real Estate Developer. The acquisition will lead to a new Malaysian company under the name of Al Batha Bukit Kiara Holdings Sdn Bhd (ABBK). Al Batha Group holding 40 per cent stake in ABBK while Bukit Kiara Group would have 60 per cent.

Announcing the new entity at a press conference and signing ceremony in Dubai, officials of both the companies said the new business entity will undertake property developments in Malaysia and the UAE.

Commenting on the significant move, Sheikh Salem Bin Mohammed Bin Sultan Al Qassimi, Vice Chairman of Al Batha Group, said: "Both Al Batha and Bukit Kiara share synergy in business interests and the acquisition will lead to leveraging each other's strength across various realty initiatives. It is also a coming together of values the two Groups share in common."

Al Batha Group consists of more than 20 autonomous companies with diverse business interests spanning automobiles, pharmaceuticals, contracting, manufacturing, electronics, FMCG, real estate, education etc... The Group employs over 4,500 people across its businesses.

The signing ceremony to seal the partnership between the two Groups was attended by more than 150 people, including 90 delegates from Malaysia.

The Bukit Kiara Group Managing Director, NK Tong said: "We see great synergy in this merger, especially in the similarities of values and business ethics between the two Groups".

"We are passionate about integrity. Al Batha subscribes to a strong code of business ethics. In today's business world where customers are getting more sophisticated, these two values particularly will go a long way to enhance our businesses with a long term view."

The new entity will result in eight companies that are related to property development and previously 100% owned by Bukit Kiara Capital Sdn Bhd, now to be part of ABBK Holdings Sdn Bhd.

These companies include the Group's flagship company Bukit Kiara Properties Sdn Bhd (BKP), an ISO certified organisation that is well known for its innovative developments of Aman Kiara, Hijauan Kiara and the VERVEA Suites, all located in the prestigious expatriate neighbourhood of Mont'Kiara, Kuala Lumpur.

The other companies related to property development and services which will form part of the new entity are Bukit Kiara Interiors (BKI), Bukit Kiara Builders (BKB), Bayland, Bukit Kiara Properties Services (BKPS), Tunas Landscape, Enchanting Lifestyle and Pristine Springs.

Relating how this merger came about, Mr. Tong said Al Batha and Bukit Kiara were introduced to each other over three years ago when the former expressed interest in co-developing the Malaysian company's second tower in the property development, VERVEA Suites with us.

"We realised that Al Batha Group was better off as an investor in the apartment units than as a co-developer, because our profit margins are very reasonable and we offer good value to our customers, which appealed to Al Batha."

Mr. Tong quoted Sheikh Salem from one of the conversations: "Making a reasonable but not exorbitant profit is good. It is a noble and fair approach to business, and is also consistent with our values." From that day on, my respect for the Group was taken to the next level, and everything they have done since has been consistent with what they have shared." 2008 Al Bawaba (www.albawaba.com)

2008 Al Bawaba (Albawaba.com)

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