Depa wins Dh800m contracts
DUBAI // Depa, a UAE-based specialty contractor and interior design firm, has won contracts worth Dh800 million (US$217.98 million) for eight hotels - and one private palace - and will complete all nine projects by the end of next year. The contracts include complete fit-out works for five of the seven hotels located on the Abu Dhabi's Yas Island, the Dh146 billion development by Aldar Properties. Earlier this year Aldar also awarded a consultancy contract to Parker International, a firm which is 51 per cent owned by Depa.
Depa will also handle work on a private palace in Dubai, a new property in the Mall of the Emirates owned by Dubai's Majid Al Futtaim group, handle fit-out works for the Millennium Hotel in Abu Dhabi, and work on the Centro Rotana hotel in Sharjah Airport, which is owned by the low cost carrier Air Arabia. Depa has a presence in 15 countries; however the firm's primary focus is on high profile projects in the UAE. Last year, 81.5 per cent of the company's contract income and 76.2 per cent of its gross contract profit was derived from the UAE, according to Zawya.com data.
Some of Depa's main projects include the Burj Dubai, the world's tallest building, the Burj Al Arab hotel and Emirates Palace hotel. Outside the country Depa has worked on the Museum of Islamic Art in Doha, the Four Seasons hotels in Egypt and Mumbai, and the Mazagan hotel in Morocco. The firm is also working on the Atlantis hotel on Nakheel's Palm Jumeriah Island and through Linder Depa Interiors, a Depa joint venture firm with European Linder Group, won a Dh375m contract to do the interiors for 14 Dubai Metro stations.
Depa listed its shares on the Dubai International Financial Exchange and Global Depository Receipts on the London Stock Exchange in April this year, offering 43 per cent of its equity in an initial public offering. Depa raised $393m to primarily fund its growth. Depa, like the rest of the local construction and interior design industry, has exploited the property boom being fuelled by record oil revenues and increased government spending on infrastructure development in the region.
Depa has experienced significant growth in recent years mainly through acquisitions, joint ventures and expansion into new markets. The firm has established new operations in Saudi Arabia, Qatar, Morocco, India and Libya. Last month the firm took a 22.2 per cent stake in Jordan Wood Industries to broaden its service offering. The firm also holds stakes in several joinery and manufacturing, procurement and specialised interior fit-out firms.
Updated: July 9, 2008 04:00 AM