UEM Edgenta Berhad (UEM Edgenta), the region’s leading Asset Management and Infrastructure Solutions company, announced today that its wholly-owned subsidiary, Edgenta Arabia Limited (“EAL”) has completed the transaction with Mohammed I. Alsubeaei & Sons Investment Company (“MASIC”) for the investment in a 60% equity stake and provision of growth capital in MEEM for Facilities Management Company (“MEEM”) upon fulfillment of the local regulatory approvals and conditions precedent of the definitive agreements.
The strategic 60% acquisition in MEEM will allow UEM Edgenta to solidify its footprint in the Kingdom of Saudi Arabia (“KSA”) with MEEM being one of the first of the many collaboration and partnership opportunities between UEM Edgenta and MASIC. Both entities will focus on Smart Integrated Facilities Management as well as Healthcare Projects where UEM Edgenta’s already strong credentials in these areas can be immediately deployed in the KSA market.
Established in 2017, MEEM is a homegrown facilities management (“FM”) company founded by MASIC, a leading Saudi investment company in KSA with investments spanning across financial services, real estate, public and private equity. MASIC was recently listed as one of the “2023 Top 100 Arab Family Businesses” by Forbes Middle East. MEEM’s FM capabilities include the provision of hard and soft FM services, specialized and support services to commercial, industrial, education and residential properties in KSA, with a workforce of more than 150 employees.
MEEM provides a readily operational facility management platform and existing contracts in hand to accelerate UEM Edgenta’s operationalization in the KSA market. Anchored by Saudi Arabia’s Vision 2030, the KSA’s facility management market is expected to grow by a CAGR of 6.2% to USD35 billion by 2028, accounting for c.50% of spend in Gulf Cooperation Council (“GCC”) region. Mega projects such as NEOM, Red Sea, AMAALA and Qiddiya will be the catalysts for UEM Edgenta and MASIC to co-develop world class integrated FM services in KSA before expanding further into the broader GCC region.
“Various game-changing initiatives in KSA have set the investment market there abuzz over the country’s major development plans in infrastructure, technology and healthcare – areas that UEM Edgenta has already a strong market presence in Asia. MEEM provides the launchpad for us to expand and grow in the Kingdom, coupled with UEM Edgenta’s leading edge position in technology- enabled and sustainability-driven facility management solutions, we are confident this lays the foundation of success for Edgenta to be unlocking opportunities for market wins,” commented Syahrunizam Samsudin, Managing Director/Chief Executive Officer of UEM Edgenta.
MASIC’s Chief Executive Officer, Hani Halawani, stated: “Together with UEM Edgenta, we look forward to elevating MEEM to be the leading integrated and smart facilities management company by bringing in new technology and best global practices into the region.”
By harnessing this subsidiary’s strong market position, the Company is on track to achieve its ambitions of Edgenta of the Future 2025 vision to expand UEM Edgenta’s international footprint and enhance product and technology proposition in high growth markets.
