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Zabeel Focused on Strategic Growth in 2009

DUBAI - Zabeel Investments Executive Chairman, Mohammed Ali Al Hashimi, has confirmed that the group will remain focused on strategic growth and development of its portfolio during 2009.

Zabeel Investments currently has Dh22 billion in assets under management, covering property, hospitality, construction and education.

“We will meet the challenges of 2009 head on,” stated Al Hashimi. “While the global crisis is a reality and we can’t ignore how this will impact on the UAE’s dealing with international markets, our long-term planning will ensure we overcome the short-term challenges.

From a UAE perspective, we are moving ahead as planned; however outside our borders we are taking our time to consider the opportunities available, and ensuring that we don’t take on overvalued prospects.”

“Our business strategy is flexible enough that we can turn our attention to the issues that matter,” he added.

The emirate has long been cited as a bubble that is ready to burst, however Al Hashimi’s view is that the market correction will allow mature investors and those with long-term plans to benefit.

Zabeel Properties, the property arm of Zabeel Investments, will deliver two key developments in 2009; the Tiara Residence and Ottoman Palace by Rixos, both on the Palm Jumeirah and the focus for both developments is to deliver on time, and with a quality and finish that reflects on the value our customers expect and deliver on the promises.

Al Hashimi continued: “From the outset, we were determined to keep our Dh18 billion property portfolio focused on Dubai and on the high end luxury segment, which has proved a prudent one. While there has been some impact to the Dubai market by the global crisis, it is much less apparent than in other parts of the world, allowing us to keep to the status quo.”

In terms of its strategic equity stakes, Zabeel Capital, the group’s wholly-owned investment arm will continue to look at distinct local and international investment opportunities, in line with the same strategy laid down in 2008 and building on the existing Dh3.6 billion portfolio.

“We looked at a number of opportunities during 2008, however with the anticipated shift in the markets, we could see that we would get better value for our money if we were to wait. There are a host of really solid investments out there to choose from; brands with a strong heritage and loyal customers; however we will continue to wait for the optimum conditions before considering any new additions to our portfolio. Our strategy with our investments has always been one that has focused on companies with good track records and solid future growth plans.”

The group already holds a number of key international investments, including strategic stakes in European Aeronautic Defence and Space Company (EADS), and Sony Corporation as well as its acquisition of a fifty per cent stake in leading US-based hospitality development and management company, The Light Group, a move which marked the company’s first foray in to the US market.

· business@khaleejtimes.com