The presentation title on this slide is set in Arial Bold 28pt€¦ · Olaf Sauer Managing Director...
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Tawazun Holding This document is the confidential property of the officers of Tawazun Holding and was produced exclusively for their use. It is not intended for use by any third parties and may not be published or reproduced without the express written permission of Tawazun Holding.
Transcript of The presentation title on this slide is set in Arial Bold 28pt€¦ · Olaf Sauer Managing Director...
Tawazun Holding
This document is the confidential property of the officers of Tawazun Holding and
was produced exclusively for their use. It is not intended for use by any third
parties and may not be published or reproduced without the express written
permission of Tawazun Holding.
Content
• A closer look at the United Arab Emirates
• What is Tawazun Holding?
Tawazun Holding
Tawazun Vision & Mandate
Tawazun Investment Focus
Sector strategies and capabilities
Investment criteria
Supply Chain positioning
Production Capabilities road map
• Our Portfolio
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The United Arab Emirates
• The UAE is a stable federation that consists of seven states. Its capital, Abu Dhabi, is the
centre of the country’s political, industrial, and cultural activities
• The UAE enjoys one of the most stable and secure political conditions in the region
• It has the seventh largest oil reserves and is currently the thirty-sixth largest economy, with a
population of over 8 million (2010, UAE National Statistics Center)
• The nominal per capita GDP of US$50K for (2010 , IMF).
• It has well developed infrastructure, heavily invests in security and boasts a track record in
building successful industries.
• The leadership promotes diversification through a wide-base dynamic open economy with
special focus on industrialization and developing basic material production businesses
including steel, aluminum
• UAE - and the region - enjoy massive energy resources and relatively cost-effective energy
and labor, land and relatively free regulatory environment
• Educational and training is a high-priority for the UAE and is an integral part of business &
investment considerations
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Industrial Development Plan Industrial sectors to diversification
Target real GDP
(In real 2005 – USD billion source: 2030 vision) Strategic Economic Sectors –
“Engines of Economic Growth”
• Petrochemicals
• Metals
• Aerospace and defense 41 44 49 54 57 60 64
59 56 51 46 43 40 36
• Pharmaceuticals, biotechnology & life
sciences
• Tourism
• Healthcare equipment & service
• Transportation, trade, logistics
• Education
• Media
• Financial services
• Telecommunication services
Oil GDP Non-Oil GDP
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Global outlook on defence markets Selected recent comments re MENA/ Gulf/ UAE
• In general, analyst comment on the decrease in military spending in US and Europe
and identify areas for growth ……
• Most important regions for growth – India, Middle East, Brazil (source ICD Research and
Strategy Defence Intelligence Annual Survey for 2012)
• Overall global defence spending flat-to-declining in 2012 …. Reductions in US, UK and
ROE Offset with increases …. China, India, KSA, UAE, Japan, Brazil (source Deloitte 2012
Global Aerospace and defence outlook)
• ME countries continue to build up their defence systems … there is a diversification of
supplier countries – not just the top 5 … but also Netherland, Germany, Italy, Spain and
Turkey have gained a place (source defencetalk.com portal)
• After a US delegation visit to the UAE in November 2010. There is impressive and
rapid development ongoing in the UAE. There is also a welcoming altitude. (source NDIA
Business and Technology magazine November 2010)
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Tawazun Holding Group
A strategic investment holding firm
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Tawazun Holding
• Tawazun Holding is the strategic investment arm of the Tawazun Economic Council
• Tawazun holding is a government-owned organization which has established a solid
track record in active industrial investment – both locally and internationally for mutual
benefit
• Tawazun is selectively building strategic manufacturing and engineering businesses
which are helping to contribute to the fast-growing industrial backbone of the UAE
• Tawazun is partnering with a hand-picked selection of world-class industrial leaders in
their field to build skills, expertise, products and systems in the UAE, using UAE hands
• Tawazun has a wide range of investments in its portfolio from Greenfield strategic
projects to wholly owned stand-alone commercial trading subsidiaries
• Tawazun is committed to supporting the development of the next generation of
industrial leaders in the UAE
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Vision and Mission
Vision Building capabilities towards a balanced future
Mission We strive to achieve our vision through :
Investing in value-added business and ventures
Building and sustaining a manufacturing capabilities portfolio
Embracing manufacturing excellence
Building long-term relationships with customers and
stakeholders
Driving innovation through investing in research and
development
Ensuring technology and know-how transfer through strategic
alliances
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Investment focus Sectors
Sector Focus Industrial Development: Strategic
Economic Sectors “Engines of Economic
Growth”
• Petrochemicals
• Metals
• Aerospace and defense
• Pharmaceuticals, biotechnology & life
sciences
• Tourism
• Healthcare equipment & service
• Transportation, trade, logistics
• Education
• Media
• Financial services
• Telecommunication services
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Strategies Sectors
Ammunitions
• To develop independent local facilities and capabilities to produce, assemble, test and supply customers locally and internationally with a range of munitions.
• To bring parts of the supply chain into the UAE to lessen dependencies
Automotive
• To expand our range of vehicle platform types 4x4, 6x6, 8x8 and so on that are produced, assembled, tested, supplied and supported locally in UAE and internationally
• To identify and invest in key sub-system technologies internationally
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Strategies Sectors
Aerospace
• To further develop our existing build to print capabilities in aero-structures. To expand our autonomous systems business from air to ground to underwater. To expand into key aerospace components, products and work in collaboration with other Emirati investors
• In aero-structures future to target families of parts or sub-assemblies. Acquire more into areas of design engineering capabilities
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Strategies Sectors
Metals &
• To develop a range of metal surface treatment and advanced manufacturing processes to build a technologically advanced cluster of ennabling competencies
• To enter key positions in the supply chain where there are technological advances underway to support our strategies, including:
Technology Castings, forgings, fabrication, wiring/circuitry and controllers, testing facilities
Plastic and metal injection molding, tooling,
software, automation and control
Textiles and fibers, ceramics, glass, powder
metallurgy
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Investment focus Criteria
• Meets a UAE strategic need
• Fit with or add new manufacturing and/or engineering capabilities
• Brings new technology
• Delivers commercial returns assessed against risk – but with a long term patient capital outlook
• Defines business case that stands up for all stakeholders
• Flexible in investment size and holding structure.
• Knowledge transfer potential
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Positioning in the supply chain
• Building manufacturing
capability will allow
component manufacturing
for numerous industries
• A business case made for a
single product may be
weak, but if that
Manufacturing Capability is
feeding into several
products, then the business
case is stronger
UAE
Procurement
MCP
Key UAE suppliers
Top-down / Bottom-up Approach
Sector 3 Sector 4 Sector 5 Sector 2 Sector 6 Sector 1
Basic Industries
Component manufacturing segments
Sub Assemblies
Original Equipment Manufacturing
Industrial Sectors
Manufacturing Capabilities Portfolio (MCP)
Ind
ustr
ial S
eg
me
nts
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Part
Production capabilities
Evolution
Industrialization Maturity
OEM / System Integrator
Tier 1: Systems and Modules
Tier 2: Sub- assemblies
OEM
System and module
engineering
Manufacturing & engineering
of sub- assemblies
System integration capabilities
National R&D centers and
programs
Diversified ecosystem of suppliers
Development of design and
engineering expertise for specific
sub-systems
Participation and co-development
of complex programs
Development of engineering
capabilities
Qualifications from OEM or Tier 1
Emerging build to print industry
Tier 3: Subcontractor
manufacturing
Pre & post treatment
Training & Education
Development of manufacturing
capacity
Mainly subcontracting
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Tawazun Holding Group
Our Portfolio
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Tawazun’ s portfolio
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subsidiaries and affiliates 2012
Tawazun Precision Industries (TPI)
TPI is specialized in manufacturing of high-
value precision mechanical components, along
with required engineering services.
Established to serve Tawazun subsidiaries
and other regional and international
industries and OEMs such as AIRBUS in
Aerospace, as well as serving the needs of
other sectors such as the Munitions and Oil &
Gas.
Muaatasem Awda
Chief Executive Officer
www.tpiuae.ae
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Caracal International
• 1st commercial arms manufacturer in the region
• A pioneer of innovation, leading the development
of world-class products in the UAE
• Distinguished by its continuous innovative designs
and creativity
• Markets entered e.g. US, Italy, France, etc.
Salem Al Matroushi
Chief Executive Officer
www.caracal.ae
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Merkel
• Merkel is a German based manufacturer
specialized in high-end hunting, sports
rifles and small arms
• Has design and R&D capabilities
• Established channels to market
• Supply chain management
Olaf Sauer Managing Director
www.merkel-diejagd.de
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Tawazun Advanced Defense Systems
long-range rifles for the
international defense and
sports markets.
TADS is borne out of the
restructuring of the Russian
Tsar Cannon company.
It will further advance the
R&D capabilities of
Tawazun’s portfolio
companies.
Sultan Aouda
Finance & Administration
Manager
www.tads.ae
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Remaya Internatinoal
• Remaya provides a world-class products
and services for the shooting industry
• Focus on educating and serving UAE
community to bring awareness & safe-
handling of small arms
• Mandated to both build and manage
certain shooting clubs
Abdulla Al Awani
Projects Manager
www.remaya.ae
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Burkan Munitions Systems
• A venture between Tawazun Holding and
Al Jaber Group
• Manufacturing a range of munitions, and
also has demilitarization capability for
unserviceable and obsolete ammunition.
• Serve the needs of the Armed Forces
in the UAE and the region
• Has know-how in the technical
operation and in the supply chain
Saeed Al Mansouri
Chief Executive Officer
www.burkan.ae
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Abu Dhabi Autonomous Systems Investment - ADASI
Principally involved in the development and
acquisition of un-manned systems
Managing complex programs for UAE Armed
Forces to establish national capabilities
Ali Al Yafei
Chief Executive Officer
www.adasi.ae
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Caracal Light Ammunition
• Tawazun acquired the munitions business
of ADCOM in 2011 and renamed it Caracal
Light Ammunition CLA
• This will complement our existing stake in
Burkan and lessen UAE dependence on
oversees supplies in strategic areas.
• Capabilities that will be improved include:
Manufacturing operations in a safety
critical environment
Automation
Supply chain and logistics
Mohamed Al Ghafli
Acting General Manager
www.caracalammo.ae
Tawazun Industrial Park (TIP)
• UAE is developing a number of world class industrial parks. TIP is one, specialized in defense and high tech industries
• TIP is located conveniently for all UAE transport gateways
• TIP is assuring the availability of required industrial infrastructure
• TIP providing all required shared services , foremost, providing security services to the whole park
• TIP is providing dedicated logistics area for storage and transportation of products
• 5 manufacturing facilities already exist in TIP today
Ibrahim Al Mosa
Advisor to the Chief Strategy Officer
Rabdan Academy A human capital development initiative
Is a state-of-the-art academy that will provide
the UAE with a highly efficient cadre of
safety, security, defense, emergency
preparedness and crisis management
professionals, capable of robust, combined,
coherent and sustainable prevention and
response to crises achieved through a
common national doctrine.
Dr. Faisal Alayyan Project
Director
www.rabdanacademy.ae
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Tawazun Development & Excellence Center A human capital development initiative
• Another human development initiatives executed through the Tawazun Development &
Excellence Center includes the following Programs:
Tawazun Work-Study Program
(Rigorous Academics + On-the-Job
experience + Specialized Training) • Apprenticeship Programs for Technicians
• Engineering Education
Day Light Program - UAE females
trained as machinists. 40 now
operating at TPI
Dr. Yehya Al Marzouqi
Director, Strategic Learning
and Development
www.twsp.ae
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Tawazun Safety, Security and Disaster Management City
• TSSDMC Offers multi-agency and inter-
nation training in the fields of safety,
security, emergency preparedness and
crisis/disaster management.
• Its facilities at its extensive site in Abu
Dhabi include a number of training wings
offering over 35 courses, covering aspects
of:
• emergency response
• urban and industrial zone incident
management
• port incident management
• offshore incident management
Khaleefa Al Hemairi
Associate Director, Strategic
Projects
www.tdmc.ae
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Nimr Automotive
Tawazun has partnered in a JV with a local
private enterprise to assemble a range of
military vehicles in the UAE
This will enable us to build capabilities in
Facility design
– Vehicle assembly
– Back-shops (e.g. paint)
– Supply chain management
Mohamed Al Mazrouei
Acting General Manager
www.nimr.ae
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©2011 Tawazun Holding Company LLC. (“Tawazun”) . All Rights Reserved
This presentation (“Presentation”) is for information purposes only.
It should not be used for any other purposes. No warranty or representation is given as to the completeness or
accuracy of the information contained herein, which may be subject to change and no obligation to update that
information is assumed. Recipients of this Presentation should form their own assessment of the matters herein and
should not rely on this Presentation.
The material herein is confidential and produced solely for the use of Tawazun Holding Company LLC, its parent(s),
subsidiaries, holding companies and companies under common control with it (“Tawazun”). The Presentation should not
be copied, reproduced, published or distributed to any party without the prior written consent of Tawazun.
This Presentation is being made available only to selected persons with requisite expertise. It is not an inducement to
enter into any transaction and it is not an offer of securities or investment promotion in any jurisdiction and may not be
distributed, copied or otherwise made available in any jurisdiction where access to the Presentation would be unlawful
or would require registration. Tawazun is not acting as an investment advisor or broker and is not giving any investment
recommendations or advice in this Presentation.
By receiving this Presentation you are deemed to agree to the above and you confirm that you are a person of a type
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