Acquisition of TARGET Engineering enhances ALEC’s capabilities in marine and industrial construction and marks its entry into the Oil & Gas sector.
Dubai, United Arab Emirates – December 20, 2022 – ALEC Engineering and Contracting LLC (ALEC), a subsidiary of the Investment Corporation of Dubai (ICD), has announced the signing of a share purchase agreement to acquire TARGET Engineering Construction Company LLC. This acquisition positions the combined entities with a joint turnover nearing USD 2 billion.
“This acquisition enhances ALEC’s leadership in the regional construction market while accelerating our entry into the Middle East’s Oil & Gas, Energy, and Renewables sectors. TARGET Engineering’s 40-year legacy and expertise will complement ALEC’s strategy to become a key player in these industries,” said Khalifa Al Daboos, Deputy CEO at ICD. “This move aligns with the UAE government’s vision to invest in world-class infrastructure supporting its goal of a sustainable and advanced economy.”
Founded in 1975, TARGET Engineering operates across four specialized divisions: Mechanical Oil & Gas, Electrical, Civil, and Marine. The company’s clientele includes leading Oil & Gas companies, EPC (Engineering, Procurement, and Construction) contractors, government entities, and property developers. Notable projects completed by TARGET include the Barakah Nuclear Power Plant for ENEC, the Ruwais LNG Terminal for ADNOC Gas Processing, Saudi Aramco’s Abqaiq Plant, and the Jebel Ali Refinery expansion for ENOC. Ongoing projects include Borouge 4 and Delma B for ADNOC, and the IGDC project for ADGAS.
With the acquisition of 100% of TARGET Engineering, ALEC will leverage its assets, including a workforce of 11,000, over 30 marine vessels, and 52,000 sqm of API/ASME-certified fabrication facilities. Additionally, TARGET’s controlling stake in IDROTEC srl, a renowned Italian marine design engineering firm, further strengthens ALEC’s capabilities in marine and Oil & Gas sectors. TARGET Engineering will continue to operate independently, drawing on ALEC’s resources and expertise.
“ALEC’s track record of building new market leadership through skill development and strategic expansion aligns perfectly with TARGET Engineering’s strengths. Their expertise in Oil & Gas, Energy, Marine, and Industrial construction complements ALEC’s own capabilities, enabling us to offer an even stronger value proposition to our clients,” said Kez Taylor, CEO at ALEC.
Chaouci Yassine, CEO of TARGET Engineering, emphasized the significance of the acquisition: “This is a pivotal moment in TARGET Engineering’s four-decade journey. With ALEC’s financial backing and world-class leadership, we are well-positioned to pursue ambitious growth across the Middle East, providing top-tier EPC and marine services to a broader array of clients.”
