Aldar Investment has acquired a 70% stake in Abu Dhabi Business Hub to establish a logistics real estate vertical, poised for expansion within the UAE and potentially into other key markets.

Target Information

Aldar Investment has successfully acquired a 70% equity interest in Abu Dhabi Business Hub, a prominent developer and manager of real estate within the region. This acquisition includes a comprehensive industrial warehousing and office complex located in the Industrial City of Abu Dhabi (ICAD), valued at over AED 500 million. The remaining 30% of equity is held by a strategic partner. This newly established logistics vertical, known as Aldar Logistics, aims to primarily address the needs within the United Arab Emirates, with future expansion plans possible for Saudi Arabia and Egypt.

Industry Overview in the UAE

The logistics sector in the United Arab Emirates is experiencing robust growth, bolstered by substantial investments in transportation and infrastructure. Following the government’s 'Projects of the 50' initiative, the country is poised to enhance its position as a comprehensive hub across all sectors. This initiative includes a significant AED 50 billion investment into a railway network designed to facilitate the efficient transportation of goods and passengers throughout the UAE, complementing the first phase of Etihad Rail.

Investments in ports and integrated industrial zones are also on the rise, with notable developments in the Khalifa Industrial Zone Abu Dhabi (KIZAD) and ICAD. These