Aldar, IHC, ADNEC merge property, facilities mgmt assets
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Aldar, IHC, ADNEC merge property, facilities mgmt assets

Aldar, IHC, ADNEC merge property, facilities mgmt assets

The merger adds considerable weight to Aldar Estates, taking its portfolio of residential units under management to approximately 135,000

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Aldar, IHC, ADNEC merge property, facilities management

Abu Dhabi’s Aldar Properties, International Holding Company (IHC) and ADNEC Group have agreed to merge their property and facilities management businesses within the Aldar Estates platform.

The merger will see IHC and ADQ-backed ADNEC become strategic shareholders in the merged entity, with Aldar retaining a majority stake and control of the combined platform.

Eltizam Asset Management Group, a property and facilities management services firm that is jointly owned by IHC and ADNEC will join the Aldar Estates platform as part of the deal.  Founded in 2009, Eltizam operates in the UAE, Saudi Arabia, Egypt, and Oman, providing clients with property and facilities management solutions, professional services and proptech capabilities.

The consolidation adds considerable weight to Aldar Estates, taking its portfolio of residential units under management from 77,000 to approximately 135,000.

The merged entity has facilities management contracts valued at approximately Dhs2.5bn. The newly established platform will target new strategic opportunities to cement its position in the region’s property and facility management sector.

The enhanced platform is expected to gain significant scale to drive strategic and competitive strengths, leveraging operational and revenue synergies of IHC and ADNEC’s property and facilities management businesses.

The consolidation will also expand Aldar Estates’ strategic investor base to accelerate growth across the UAE and the wider GCC region. The platform seeks to enhance customer service across the property firm’s diverse client base by providing an integrated offering across its expanded suite of services while embracing digital advancements, innovation and promoting sustainability.

Aldar Estates is a key operating segment under the UAE developer’s business and the expanded platform is expected to contribute significantly to the company’s growth strategy.

Aldar Estates’ growing portfolio

Aldar Estates has broadened its suite of services over the past 12 months while adding significant scale to both Provis and Khidmah – which form an integral part of the platform.

The company completed the acquisition of Basatin Landscaping Services this year, a deal that complemented the acquisitions made in 2022 including Spark Security Services, Mace Macro Technical Services, Pactive Sustainable Solutions, and SAGA International Owner Association Management Services.

Meanwhile, Aldar Properties has been investing extensively across the Middle East’s crowded property market amid a spectacular recovery in the real estate sector. The Abu Dhabi-based property developer said its expansion plans include the acquisition of Al Fahid Island, which is expected to add waterfront offering to its development pipeline.

The property firm announced in February that it plans to start work on projects in Dubai this year after the property giant expanded into the Middle East’s business hub through a joint venture with Dubai Holding.

The developer launched a limited number of apartments at ‘The Source’ in March, a community dedicated to the holistic health and well-being of the residents. Moody’s reaffirmed Aldar Properties’ and Aldar Investment Properties’ Baa2 and Baa1 ratings, respectively, in recognition of the developer’s sizeable development landbank, diversified recurring income portfolio and strong liquidity position.

Read: UAE’s Aldar Properties unveils homes dedicated to health and wellbeing

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