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Unimech Infuses Rs 39 Cr into Saudi Manufacturing JV, Targets Middle East Expansion
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News18•01-10-2026, 20:30
Unimech Infuses Rs 39 Cr into Saudi Manufacturing JV, Targets Middle East Expansion
- •Unimech has invested 15.3 million Saudi Riyal (approximately Rs 39.36 crore) into its Dammam-based joint venture, Kanoo-Unimech Advanced Manufacturing Solutions, as the first tranche of equity capital.
- •The joint venture partners have planned a total equity capital of 60 million Saudi Riyal, to be contributed in two tranches, with Unimech holding a 51% stake and Yusuf Bin Ahmed Kanoo Company owning 49%.
- •The JV aims to establish a local manufacturing platform in Saudi Arabia to serve the precision engineering and manufacturing needs, particularly within the oil and gas ecosystem.
- •Commercial production at the facility is expected to commence by late March 2027 or early April 2027, providing a local platform for precision-engineered components.
- •This investment aligns with Unimech's strategy to build a local manufacturing footprint in key international markets and expand its presence across high-value industrial sectors in the Middle East.
Key Questions Answered
Unimech invested 15.3 million Saudi Riyal, which is approximately Rs 39.36 crore, as its contribution toward the first tranche of equity capital in the Dammam-based joint venture.
Unimech holds a 51 percent stake in the joint venture with a contribution of SAR 15.3 million in the first tranche, while Yusuf Bin Ahmed Kanoo Company owns the remaining 49 percent stake with a contribution of SAR 14.7 million.
The facility is expected to commence commercial production by late March 2027 or early April 2027 to serve the oil and gas ecosystem and industrial sector in the region.
