UAE-based Metito has entered into an agreement with the Japanese companies Mitsubishi Corporation (MC), Mitsubishi Heavy Industries (MHI), and Japan Bank for International Cooperation (JBIC) with the aim of strengthening ties between the Middle East and Japan in the water and wastewater industry
Under the strategic partnership, both MC and MHI have acquired 38.4 per cent of Metito shares, while JBIC has subscribed as a preference shareholder meaning it will provide Metito with up to US$92mn to fund growth opportunities.
Metito CEO Mutaz Ghandour said, ?Metito is already well poised to tap into projects of various scales and this partnership, in addition to the investment by JBIC, will expedite the company?s growth through creating new opportunities and allowing us to become more competitive globally.?
According to Metito, the deal will reinforce the relationship between the Middle Eastern and Japanese water and wastewater industries, and the companies will also benefit from each other?s financial strength, global networks, and business development opportunities.
Masaji Santo, MC senior vice president of the Division COO, commented, ?The numerous mutual benefits stemming from this deal will ensure world class water solutions are brought to new markets, benefiting more people in a stronger and sustainable manner.?
Santo added, ?Metito?s long established expertise and local presence in strategic emerging markets will be an advantage when looking to secure further development opportunities in water-challenged areas that offer massive growth potential.?
The intention behind JBIC?s considerable investment in Metito is to support overseas business deployment of Japanese companies, according to the water and wastewater solutions provider.
Masaaki Yamada, director general of the Power and Water Finance Department, Infrastructure and Environment Finance Group at JBIC, stated, ?In recent years Japanese companies such as MC and MHI have had an increased appetite for expansion in the Middle East and GCC region.?
He added, ?JBIC supports this development, and in this case subscribed as a preference shareholder in Metito to provide the company with stable financing to find new growth opportunities.?
Operating for more than 50 years and with a current global project portfolio in excess of US$1bn, Metito provides total intelligent water management solutions in the emerging markets and its operations cover three business areas: design and build, speciality chemicals, and utilities.
