Mumtalakat, Synergies Castings sign joint venture
Bahrain Mumtalakat Holding Company (Mumtalakat), the investment arm of Bahrain, yesterday said it signed a joint venture with India’s Synergies Castings Limited (Synergies), to establish an aluminium casting and speciality alloy wheel manufacturing facility in Bahrain.
This will be a cornerstone project at the new molten metal park, being developed adjacent to Alba. It is a combined initiative of Mumtalakat and the Bahrain Economic Development Board (EDB) to further diversify the aluminium sector.
The facility will have comprehensive design, engineering, advanced simulation,productdevelopment and manufacturing capabilities; with an annual production capacity of approximately 25,000 metric tonnes.
The manufacturing facility is expected to create approximately 600 new jobs in Bahrain. Mumtalakat will hold a 49 per cent stake in the joint venture, and will support the project by procuring all necessary approvals prior to production, as well as making land plots available, providing infrastructure support and facilitating access to local debt financing. Synergies will be responsible for facility design and implementation, engineering support, operations, marketing and day-to-day management.
The EDB will provide consultancy and investor facilitation support for the venture. Mumtalakat Chief Executive Officer Mahmood Hashim Al Kooheji said: “We have made a number of investments in domestic projects and continue to identify and partner reputed international organisations operating in areas that complement our portfolio and establish joint operations in Bahrain.” Speaking at the signing ceremony, Chief Executive of EDB, Khalid Al Rumaihi said: “Aluminium plays an important role in our non-oil economy and exports, and this initiative will create high quality jobs for Bahrainis.”
The joint venture and the facility, once completed, will benefit from Alba’s increase in liquid aluminium production while strengthening Bahrain’s position at the forefront of the aluminium industry.
Synergies President Shekhar Movva commented:
“We were most impressed not only with the hot metal availability and the impressive infrastructural facilities and support available in Bahrain, but by the progressive mind- set and proactive approach of the Mumtalakat team and the EDB.”
In recent years, Bahrain has seen investment from a number of Indian companies. JBF Industries has a factory located in the Bahrain International Investment Park (BIIP) to manufacture polyester and metallised film – one of the largest investments in the park.
In 2014, a high-level business delegation, including representatives from the EDB, visited New Delhi and Mumbai to present to interested companies the Kingdom’s key competitive advantages and meet with potential investors.
Photo Caption: Shekhar Movva, Mahmood Hashim Al Kooheji and Khalid Al Rumaihi announcing the signing of the joint venture agreement
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