Flag Holding, an Abu Dhabi- based investment firm, will inject substantial funds into loss-making Dhofar Fisheries Industries Company (DFIC). The cash injection will help DFIC revamp its operations, introduce new products and explore new markets.
The company requires around RO5mn of new investments for the revival and to introduce new products, according to a company official. However, it has not been disclosed how much Flag Holding will invest in DFIC. Recently, Flag Holding bought the entire 39.13 per cent stake of Oman & Emirates Investment Company (OEIC) in DFIC.
Awad Mohammed Bam- khalef, CEO of OEIC and vice chairman of DFIC, told Muscat Daily that Flag Holding has expressed its intention to revamp the existing operations of the company and to take the company's products to new markets.
"Flag Holding is also prepared to inject necessary funds, which is estimated to be substantial, towards producing new products, apart from continuing tuna and sardine canning operations in the factory. Considering the long term advantage which DFIC will have with the association of the new owner, we felt it is wise to handover the stake to a new buyer who has the necessary strength, experience and keenness to make the company bigger and better."
On condition of anonymity, a DFIC official said that the company has prepared a new business model and is planning to introduce new products like chicken franks and red meat burger for which it will require an investment of around RO5mn.
© Muscat Daily 2011
