April 17, 2023 (MLN): Avanceon Saudi for Energy Company, a 100% wholly owned subsidiary of Avanceon Limited (PSX: AVN), and ZOMCO (Zamil Operations & Maintenance), fully owned subsidiary of the Zamil Group, have entered into a Joint Venture Agreement to Expand Project Execution Footprint in KSA, the company’s filing on PSX noted.
The Joint Venture Agreement will be conducted through a newly formed liability company named Avanceon Arabia InfoTech WLL.
Avanceon has a rich project execution footprint in the Middle East particularly in the KSA region. The company has been active in the region for more than a decade and has served top-tier clients and executed some of the largest government projects.
With highly trained human capital, strong technical know-how, a low-cost execution model, and strong OEM relationships, Avanceon aims to expand its services portfolio by collaborating with a reputable JV partner in KSA. ZOMCO has a strong local presence in KSA with a rich execution experience.
Having been in operation for more than three decades, ZOMCO and Avanceon plan to create a synergetic partnership and make the JV a holistic solution provider. The JV will see both companies invest in sophisticated testing and manufacturing facilities, recruitment of human resources, and creation of a lucrative pipeline of projects within the Water, Transportation, and Infrastructure sectors.
Faisal S. Al Zamil, ZOMCO President expressed his view on the JV, ZOMCO is proud to be working in partnership with Avanceon to bring market-leading system integration and automation solutions to the Saudi market. We see huge opportunities in the sector and have a partner who can help to develop the market and to train and mentor a team of young Saudi professionals to deliver world-class solutions.
Sarmad Mahmood Qureshi, President Avanceon Limited (Middle East & Africa), and leading as Executive Director & CEO Avanceon Arabia InfoTech, expressed his views on the JV with ZOMCO, ‘The timing is opportune for a joint venture with a well-known Saudi conglomerate, as Avanceon is already a leading regional provider of infrastructure, oil and gas, water, and transportation solutions in the GCC.
With Saudi Arabia committing significant investments, this collaboration with Zamil will further enhance Avanceon’s position. The establishment of Avanceon Arabia InfoTech reflects our shared commitment to advancing our technological capabilities.
The Saudi Vision provides an ideal platform to replicate, promote, and implement our successful solutions in KSA. With ZOMCO as our partner, we are confident in our ability to develop a robust portfolio of projects, maintenance solutions, and digitalization initiatives, which will be vital in realizing the goals of the Saudi Vision 2030. ‘
As agreed in the terms of the JV agreement, Avanceon and ZOMCO will split the initial paid-up capital 60% and 40% respectively. The validity of the JV will be 25 years and will commence on the effective date and shall continue until terminated.
Copyright Mettis Link News
Posted on: 2023-04-17T11:00:55+05:00
