Vision 2030 Jan. 2011 | Page 92

Joint ventures in construction Interview with Naveen Sasidharan, Managing Director, Jancos Group The onset of the financial crisis has seen a glut of construction companies from Dubai flock en masse to Abu Dhabi, creating a dramatic drop in prices and the creation of a buyer’s market. The result is that many of the smaller operations that had heretofore enjoyed a steady income, are struggling under the pressures of increased competition. The nature of the Abu Dhabi contracting companies certification system is such that there are certain requisite levels a company must reach in order to be eligible for the various levels of job that are put to tender. Companies are categorised by levels, for which they are pre-qualified depending on their experience (see table on page 88). Many small and mid-size contracting companies are therefore actively looking for international construction companies, with experience in major projects and large developments with which to form joint venture partnerships. They do this with a view to gaining additional certification, enabling them to target high value projects. One such company which has recently secured such a joint venture is Jamal Al Nuaimi General Contracting Company. Owned by Jamal Al Nuaimi, the prominent Emirati businessman, the JANCOS Group of Companies is a multifaceted group operating in a variety of spheres, 90