Opens AED 10 million showroom and warehouse to target Bahrain and Saudi markets

Dubai, September 14, 2006: Danube Building Materials FZCO, a leading player in the construction industry, has launched operations in Bahrain with a 10,000 sq. ft. showroom in Salamabad and a 250,000 sq. ft. warehouse, with a total investment of AED 10 million.

The new venture, aimed at tapping the construction boom in Bahrain and neighbouring Saudi Arabia, has targeted a turnover of AED 50 million in the first year of operations.

Danube's Bahrain operations also include a melamine press unit with a capacity of 1,500 sheets per day and Kiln Dried chambers with a capacity of 200 cubic metres. The warehouse will have a large capacity to store bulk stock to meet the rising demand in the two GCC states.

"Our foray into Bahrain is an important part of our expansion in the Gulf," said Rizwan Sajan, Chairman of Danube Building Materials. "We foresee a spurt in demand for building materials, as a large number of mega projects are under construction in Bahrain and Saudi Arabia. As Danube is already a major player in the industry, we expect to capture a sizable share of the market."               

Bahrain is in the midst of frenetic construction activity. Among the major projects underway are Bahrain Financial Harbour, Pearl Tower, Al Areen Spa Resort & Park, Durrat Al Bahrain, Amwaj Gateway Hotel and Lulu Island. Bahrain is also building the Gulf's first multi-million dinar super-yacht hotel.

"The move to start operations in Bahrain has generated highly positive response among consultants, architects, interior decorators and contractors in Bahrain and Saudi Arabia, as they now have a one-stop source for all their requirements of wood, MDF and sanitary products," said Mr. Sajan.

Operating from its head office in Jebel Ali Free Zone, Danube covers the Gulf with a network comprising two branches in Dubai, two in Muscat, two in Abu Dhabi, one in Sharjah and one in Al Ain. Danube's next target is Qatar, which is experiencing a construction boom.

"Our commitment to quality and customer care, combined with arrangements with leading suppliers, have made us a prominent name in the construction industry," said Sajan. "Besides construction materials, our product range includes high end sanitary products, including massage bathtubs with built-in DVD and shower rooms."

Danube's Bahrain foray comes on the heels of the launch of Indian operations last month, with a branch in Mumbai, one of the fastest growing real estate markets in the world. Danube also has operations in China with two branches.

-Ends-

About Danube Building Materials FZCO
Danube Building Materials FZCO was established in Dubai 14 years ago. The company has in stock more than 10,000 products and value added services in-house. Danube operates from its offices in a 225,000 square foot facility in Jebel Ali which includes warehouses and a factory. Danube has grown from a small trading firm in 1993 into one of the largest building materials company in the region, with 8 branches in the UAE, 2 in Oman, 1 in Bahrain, 2 in China and 1 in India. The company has a team of 350 people working from strategic locations in Jebel Ali, Deira, Abu Dhabi and Muscat. Danube has extensive customer base in the GCC, Asia and Africa. Danube's prestigious projects include Emaar projects such as Emirates Hills, the Burj Al Arab, Shangrila Hotel, Grand Hyatt, and a private palace in Muscat.

Issued on behalf of Danube Building Materials FZCO
by Communicate Gulf,
P.O. Box 50411,
Dubai,
UAE.
For further information please contact:
Ramon Rodriguez,
Tel. +971 4 3341107, 050 6567634
ramon@communicategulf.com

© Press Release 2006