UAE cable maker Ducab may consider an initial public offering to support future expansion, its group chief executive has said.
“This is a viable strategy going forward in order to basically fuel our expansion plans … it’s an option that is available for us,” Mohammed Al Mutawa told The National in an interview.
The company, jointly owned by Abu Dhabi holding company ADQ and the Investment Corporation of Dubai, has no plans to sell shares in the company at the moment, he said.
There has been an IPO boom in the Middle East, with a number of companies listing their shares on the regional stock markets such as the Abu Dhabi Securities Exchange, the Dubai Financial Market and Saudi Arabia’s Tadawul as economies recover from the coronavirus-induced slowdown on the back of higher oil prices and government reforms.
The recent listings include Adnoc Gas, Adnoc Logistics and Services and Al Ansari Financial Services.
Middle East IPOs raised more than $23 billion in 2022 from 48 listings, compared with $7.52 billion from 20 offerings in the previous year.
That was the highest share for the Gulf region after 2019, when Saudi Aramco went public in a $29 billion offering, the world’s largest.
Ducab, founded in 1979, produces copper and aluminium cables, as well as metal rods that are used in a number of sectors such as power, oil and gas, construction, renewables and rail.
It has six manufacturing units in the UAE, including four in Abu Dhabi and two in Dubai, in Jebel Ali.
Ducab intends to focus on boosting its exports in international markets, to tap into the expanding global wires and cables market, Mr Al Mutawa said.
The size of the market was estimated at $202.05 billion in 2022 and is expected to expand by 4.2 per cent annually between 2023 and 2030 due to rising urbanisation and growing infrastructure worldwide, according to the Grand View Research report.
Ducab currently has the capacity to produce about 120,000 tonnes of copper cables, 180,000 tonnes of copper rods and 55,000 tonnes of aluminium rods.
It exports to 55 countries and territories, with Hong Kong, the UK, Australia and countries in the GCC and North Africa being its biggest markets.
The company aims to increase exports to other countries in Asia, North Africa and Europe.
“Overall, global demand, when it comes to cable is always there. There are opportunities and pockets all over the world because of new infrastructure projects and other developments,” Mr Al Mutawa said.
“European requirements, for example, for improving the existing grid – the demand is tremendous.”
Europe is building new renewable energy plants as it looks to wean itself off Russian fossil fuels amid the Ukraine conflict, leading to higher demand for cables.
Ducab also aims to aggressively expand its business in India after it opened its office in Bengaluru earlier this year.
“Our office in India has provided us access to the market and within the short period, we have seen a very high level of acceptance for Ducab within the market itself that's growing,” he said.
India, the world's fifth-largest economy, is investing heavily in developing infrastructure projects as its economy makes a strong rebound from Covid-19.
The country is building new roads, power projects, airports and ports.
Last year's signing of the comprehensive economic partnership agreement (Cepa) between the UAE and India is also expected to boost Ducab's exports to Asia's third-largest economy, he said.
Non-oil trade between the UAE and India stood at $50.5 billion, up 5.8 per cent annually, in the first 12 months of the signing of the Cepa between the two countries, the latest data shows.
“We see the opportunities in specialised sectors such as nuclear plants, airports, data centres and infrastructure,” Mr Al Mutawa said.
Ducab is bullish about the growth of the revenue this year.
In 2023, it aims to beat last year's revenue growth of 19 per cent amid new opportunities to increase exports globally.
It currently exports 70 per cent of its products to various international markets while the UAE accounts for 30 per cent of its sales.
“We are expecting a much better result this year and [expect to] surpass last year’s revenue growth,” he said.
The group reported total annual revenue of $1.8 billion in 2022.
The company is supporting the UAE’s “Operation 300bn” initiative that aims to boost the industrial sector's contribution to the country's gross domestic product to Dh300 billion ($81.68 billion) by 2031, from Dh133 billion in 2021.
The Emirates is putting “phenomenal effort … to support the 'Made in UAE' initiative and actually pushing it to the market and challenging us as a UAE manufacturer to represent and take the UAE brand into the world and be an ambassador for the UAE”.
When asked about raising money through the issuance of sukuk or bonds, Mr Al Mutawa said the company had an “ambitious plan to drive the business and take it forward and that would require finance and funding”.
“So, it is always a tool and an option for us to achieve our targets and objectives going forward,” he said, without providing further details.
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On sale: Later in 2025 or early 2026, depending on region
Price: Exact regional pricing TBA
SERIES INFO
Schedule:
All matches at the Harare Sports Club
1st ODI, Wed Apr 10
2nd ODI, Fri Apr 12
3rd ODI, Sun Apr 14
4th ODI, Sun Apr 16
UAE squad
Mohammed Naveed (captain), Rohan Mustafa, Ashfaq Ahmed, Shaiman Anwar, Mohammed Usman, CP Rizwan, Chirag Suri, Mohammed Boota, Ghulam Shabber, Sultan Ahmed, Imran Haider, Amir Hayat, Zahoor Khan, Qadeer Ahmed
Zimbabwe squad
Peter Moor (captain), Solomon Mire, Brian Chari, Regis Chakabva, Sean Williams, Timycen Maruma, Sikandar Raza, Donald Tiripano, Kyle Jarvis, Tendai Chatara, Chris Mpofu, Craig Ervine, Brandon Mavuta, Ainsley Ndlovu, Tony Munyonga, Elton Chigumbura
How to improve Arabic reading in early years
One 45-minute class per week in Standard Arabic is not sufficient
The goal should be for grade 1 and 2 students to become fluent readers
Subjects like technology, social studies, science can be taught in later grades
Grade 1 curricula should include oral instruction in Standard Arabic
First graders must regularly practice individual letters and combinations
Time should be slotted in class to read longer passages in early grades
Improve the appearance of textbooks
Revision of curriculum should be undertaken as per research findings
Conjugations of most common verb forms should be taught
Systematic learning of Standard Arabic grammar
What vitamins do we know are beneficial for living in the UAE
Vitamin D: Highly relevant in the UAE due to limited sun exposure; supports bone health, immunity and mood.
Vitamin B12: Important for nerve health and energy production, especially for vegetarians, vegans and individuals with absorption issues.
Iron: Useful only when deficiency or anaemia is confirmed; helps reduce fatigue and support immunity.
Omega-3 (EPA/DHA): Supports heart health and reduces inflammation, especially for those who consume little fish.
Tightening the screw on rogue recruiters
The UAE overhauled the procedure to recruit housemaids and domestic workers with a law in 2017 to protect low-income labour from being exploited.
Only recruitment companies authorised by the government are permitted as part of Tadbeer, a network of labour ministry-regulated centres.
A contract must be drawn up for domestic workers, the wages and job offer clearly stating the nature of work.
The contract stating the wages, work entailed and accommodation must be sent to the employee in their home country before they depart for the UAE.
The contract will be signed by the employer and employee when the domestic worker arrives in the UAE.
Only recruitment agencies registered with the ministry can undertake recruitment and employment applications for domestic workers.
Penalties for illegal recruitment in the UAE include fines of up to Dh100,000 and imprisonment
But agents not authorised by the government sidestep the law by illegally getting women into the country on visit visas.
How to help
Send “thenational” to the following numbers or call the hotline on: 0502955999
2289 – Dh10
2252 – Dh 50
6025 – Dh20
6027 – Dh 100
6026 – Dh 200
More coverage from the Future Forum
EMERGENCY PHONE NUMBERS
Estijaba – 8001717 – number to call to request coronavirus testing
Ministry of Health and Prevention – 80011111
Dubai Health Authority – 800342 – The number to book a free video or voice consultation with a doctor or connect to a local health centre
Emirates airline – 600555555
Etihad Airways – 600555666
Ambulance – 998
Knowledge and Human Development Authority – 8005432 ext. 4 for Covid-19 queries
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Ten tax points to be aware of in 2026
1. Domestic VAT refund amendments: request your refund within five years
If a business does not apply for the refund on time, they lose their credit.
2. E-invoicing in the UAE
Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption.
3. More tax audits
Tax authorities are increasingly using data already available across multiple filings to identify audit risks.
4. More beneficial VAT and excise tax penalty regime
Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.
5. Greater emphasis on statutory audit
There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.
6. Further transfer pricing enforcement
Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes.
7. Limited time periods for audits
Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion.
8. Pillar 2 implementation
Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.
9. Reduced compliance obligations for imported goods and services
Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations.
10. Substance and CbC reporting focus
Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity.
Contributed by Thomas Vanhee and Hend Rashwan, Aurifer
Match info
Deccan Gladiators 87-8
Asif Khan 25, Dwayne Bravo 2-16
Maratha Arabians 89-2
Chadwick Walton 51 not out
Arabians won the final by eight wickets
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The Buckingham Murders
Starring: Kareena Kapoor Khan, Ash Tandon, Prabhleen Sandhu
Director: Hansal Mehta
Rating: 4 / 5
Mohammed bin Zayed Majlis
COMPANY%20PROFILE
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THE BIO
Bio Box
Role Model: Sheikh Zayed, God bless his soul
Favorite book: Zayed Biography of the leader
Favorite quote: To be or not to be, that is the question, from William Shakespeare's Hamlet
Favorite food: seafood
Favorite place to travel: Lebanon
Favorite movie: Braveheart
