International Holding Company Explained

International Holding Company
Foundation:1998
(as Asmak)
Key People:Tahnoon bin Zayed al-Nahyan (Chairman)
Syed Basar Shueb (CEO)
Industry:Investments
Revenue: $16.4 billion USD (2023)[1]
Net Income: $7.5 billion USD (2023)
Assets: $455.043 billion USD (2023)
Owner:Royal Group (60%)
Website:www.ihcuae.com

The International Holding Company (IHC) is a holding company headquartered in Abu Dhabi, United Arab Emirates, which manages a diversified portfolio of domestic and foreign investments.[2] [3] The conglomerate is said to have close ties to the Abu Dhabi ruling dynasty. The chairman of the company is Sheikh Tahnoon bin Zayed al-Nahyan, who also serves as the country's National Security Advisor and manages two sovereign wealth funds.[4]

The company is listed on the Abu Dhabi stock exchange and had a market capitalization of 240 billion US dollar in 2024.[5] [6] [7] [8] After the Royal Group transferred 40 companies worth US$4.7 billion to IHC, the company's share price grew by 42,000% between 2019 and 2024, making it the second most valuable company in the Gulf States behind Saudi Aramco. This transformation coincides with Tahnoon bin Zayed al-Nahyan's time as Chairman of the Group. The majority of shares (around 60%) in the company are controlled by the Royal Group.

History

IHC was founded in 1998 as Asmak and was initially active in the fisheries sector. The company quickly developed into a regional market leader in the export of seafood. The company went public on the Abu Dhabi Stock Exchange in 2005.[9]

In the years that followed, IHC embarked on a strategic journey of acquisitions and diversification that led to expansion into various sectors, including real estate, with the acquisition of ESPL properties in 2008. By 2013, IHC had grown significantly through these strategic acquisitions.[10]

In 2020, three of its subsidiaries were listed on the Abu Dhabi Securities Exchange. The following year, IHC's growth continued as the company listed more subsidiaries, including Alpha Dhabi, ESG and Al Seer Marine, and became the most valuable company on the Abu Dhabi Stock Exchange.[11]

IHC continued its expansion in 2022, concluding a US$2 billion investment agreement with the Indian Adani Group and acquiring a significant stake in the renewable energy sector with the purchase of shares of Turkish Kalyon Enerji.[12] [13] In September 2023 the IHC sold stakes in the Adani Group, but increased its stake in Adani Enterprises.[14] [15]

In November 2023, the Group acquired a majority stake in a copper mine in Zambia for just under one billion US dollars.[16]

In January 2024 the IHC established a new holding company with $27 billion in assets called 2PointZero.[17] [18]

Investments

The International Holding Company manages over 100 investments in the following sectors:[19]

The Real Estate and Construction segment accounted for the largest share of the Group's revenue in 2023 (33.9%), followed by Agriculture and Fisheries (29.6%) and Food and Beverages (6.9%).[21]

References

  1. Web site: International Holding Company. Market Screener. 2024-03-18.
  2. Web site: Abu Dhabi's IHC to focus on domestic acquisitions as global economy slows . Reuters.
  3. Web site: 2024-02-05 . Acquisitions drive 18% jump in 2023 revenue for International Holding Company . 2024-03-19 . gulfnews.com . en.
  4. Web site: 2024-03-18 . Hadeel Al Sayegh . en . Abu Dhabi's IHC forms new company with assets set to exceed $27 bln . Reuters.
  5. News: Brown . Eliot . A $236 Billion Stock-Market Enigma . 2024-03-19 . WSJ . en-US.
  6. Web site: 2024-03-18 . Hadeel Al Sayegh . en . Abu Dhabi's IHC forms new company with assets set to exceed $27 bln . Reuters.
  7. Web site: 2024-03-18 . The UAE business that went from obscurity to a $240bn valuation in 3 years . Financial Times.
  8. Web site: UAE's biggest company is adding an AI-powered observer backed by Microsoft to its board . 2024-03-19 . Fortune Asia . en.
  9. Web site: 2024-03-18 . International Holding Company . en . History .
  10. Web site: 2024-03-18 . International Holding Company . en . History .
  11. Web site: 2024-03-18 . International Holding Company . en . History .
  12. Web site: 2024-03-18 . International Holding Company . en . History .
  13. Web site: 2024-03-18 . UAE conglomerate invests $2bn in Gautam Adani group following trade deal . Financial Times.
  14. Web site: Abu Dhabi group IHC sells out of two Adani companies . 2024-03-19 . www.ft.com.
  15. Web site: Abu-Dhabi conglomerate IHC increases stake in Adani Enterprises to over 5 per cent . Telegraph.
  16. News: Gulf countries are becoming major players in Africa . 2024-03-18 . The Economist . 0013-0613.
  17. Web site: Abu Dhabi's IHC forms new holding company with assets exceeding $27b . 2024-03-19 . DealStreetAsia . en.
  18. Web site: Nagraj . Aarti . 2024-01-02 . Abu Dhabi's IHC unveils new holding company 2PointZero with more than $27bn in assets . 2024-03-19 . The National . en.
  19. Web site: 2024-03-18 . International Holding Company . en . Fact Sheet .
  20. Web site: Muzoriwa . Kudakwashe . 2023-11-06 . IHC consolidates 'green businesses' assets under Sirius . 2024-03-19 . Gulf Business . en-US.
  21. Web site: 2024-03-18 . International Holding Company . en . Fact Sheet .

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