Abu Dhabi – Mubasher: Emirates Steel’s management is preparing the company for the launch of a potential initial public offering (IPO), CEO Ghumran Al Remeithi told Emarat Al Youm newspaper on Tuesday.
Emirates Steel, General Holding Corporation’s (SENAAT) unit, is run as a private company in terms of transparency and governance; however, the IPO’s decision must be taken by Abu Dhabi’s government, Al Remeithi added.
The UAE-based steel producer increased its output to over 3.2 million tonnes in 2017 from 3.1 million a year earlier on the back of the enhancement of the factories’ efficiency and the expansion in new markets, Emarat Al Youm reported, citing the CEO revealed as saying.
The state-owned firm’s market share reached 60%, with a plan to increase it over the next five years, Al Remeithi stated.
Emirates Steel warned of the US government’s decree concerning imposing fees on steel imports, noting that the UAE’s steel market could be dumped by steel imports from China and Turkey.
Regional steel markets are wide-open and some of them need strict anti-dumping regulations, the company announced.
The UAE's largest steel producer sells 80% of its production in the domestic market, while the remaining 20% is exported to 40 countries, Al Remeithi said, highlighting that the US accounts for 5% of the company's exports.
