By Amr Adel

Dubai – Mubasher:  Ras Al Khaimah Ceramics Co. (RAK Ceramics) is seeking new acquisitions in the Indian market to launch an additional unit after its recent takeover, CEO Abdullah Massaad said in an interview with Mubasher.

In October, the Abu Dhabi-listed company announced buying the remaining 8% stake in its India subsidiary.

India is a huge promising market and will provide strong demand on the company’s products, said the top executive, adding that it dominates 8% of RAK Ceramics total production that currently stands at 110 million square metre annually.

RAK Ceramics started developing operations in India in 2006 to capitalise on the rising demand and increased building projects. It owns three production lines in India, with a production capacity of 8 million sqm of tiles.

The CEO also said his company is open for any new acquisition in its major markets in the UAE, Bangladesh and India.

RAK Ceramics has allocated AED 100 million in investments during the last quarter of 2015 to support expansions and proceed with renovation, according to the top executive.

Massaad also said his company invested around AED 200 million in the first nine months of 2015 to complete acquisitions in India and Iran and to continue with upgrade process to boost productivity in major markets.

The company is preparing to spend nearly AED 300 million by the end of 2015 to buy the latest technologies and invest in strategic projects.

The CEO noted that his company may divest secondary operations whenever suitable, adding that RAK Ceramics is currently in the process of selling a hotel in Rask Al Khaimah in addition to warehousing firms and other properties.

RAK Ceramics said earlier this year it is expected to exit its entire investment in Sudan by the end of 2015.

The company clarified earlier that the exit from Sudan was to avoid the operational challenges in terms of raw materials and replacement parts, and to suspend the losses posted from inflation and foreign currencies exchange rate.

The CEO said earlier that the company is expanding in the Saudi market by increasing investments, including the rental of a 93,000 square meter-warehouse in Riyadh. He projected that sales would reach 25 million square meters each year.

Translated by Sayed Abdel Rahman