Partnership announced with local contractor Al Habtoor Leighton Group
Interior Services Group (ISG) has formed a 50:50 joint venture in Dubai with leading Gulf construction company Al Habtoor Leighton Group (AHL).
ISG's recently established local fit-out arm will be merged with AHL's interiors business to form a new company, Al Habtoor ISG, into which the partners will invest up to £11m over the next three years.
The joint venture will provide integrated fit-out solutions linked with AHL's construction activities, as well as project management and interior fit-out contracting. It will cover the retail, hotel, housing and office sectors.
The new firm is expected to begin operating in July. ISG will have day-to-day control through ISG Asia and will provide marketing, best practice and technical assistance. AHL will contribute local knowledge and access, including to fit-out opportunities on its construction projects.
David Lawther, chief executive of ISG, said: “We are extremely excited by this partnership - this is a unique opportunity for our business in the Middle East to take a quantum leap forward and to continue to expand ISG in targeted marketplaces overseas. We are partnering with one of the Gulf's leading construction firms with unrivalled access and opportunities in a region where demand for our fit-out capabilities is forecasted to grow strongly.”
The United Arab Emirates' construction industry is forecast to grow from £7.6bn to £11.2bn over the next five years, with 7% annual growth this year alone on the back of several large projects.