RAK Ceramics announced that it has acquired the remaining minority shares of its joint ventures in the Kingdom of Saudi Arabia and therefore now fully owns its KSA operations.
Over the last few years RAK Ceramics has been consolidating its global operations and this latest purchase follows acquisitions in Europe, India, and Australia. Europe and KSA are the company’s major export markets, followed by the Middle East, Africa, and Asia Pacific. In 2017 around 31.7% of its tile and sanitaryware sales originated from the UAE and 68.3% was the result of its export operations to different regions around the world.
Saudi Arabia is already an important export market for RAK Ceramics and with the Kingdom’s ‘Saudi Vision 2030’ already underway the future growth in the region looks promising.
Taking control of its distribution operations in core markets is a key part of RAK Ceramics’ Value Creation Plan (VCP). The VCP was initiated in 2014 and designed to unlock hidden value in the business by offloading non-performing businesses and generating cash to reinvest, streamlining company operations, gaining greater control over its distribution networks and uniting RAK Ceramics as one company and one brand, with a single global corporate brand identity.
Also published on Medium.