Dar Al Balad Contracting Acquired in Strategic Move by ECG
Deal News | Mar 13, 2025 | Zawya
Energy Capital Group (ECG) has announced the acquisition of Dar Al Balad Contracting (DAB) through its investment vehicle, ECG2.0-Fund2. This strategic acquisition aligns with Saudi Arabia's Vision 2030 and aims to bolster ECG's position as a leader in the country's Power and Water Industrial Services sector. DAB, known for its engineering services to the Saudi Electricity Company and other industrial clients, is now part of ECG's plan to build a consolidated industrial services platform. This move is aligned with ECG's broader strategy to create a national industrial services champion, slated for a public listing on Tadawul within two years. Established partnerships, like DAB's joint venture with STEG-IS, are expected to enhance service capabilities and growth. The leadership team, including General Partner Akram Alrabayah and Managing Director of DAB Bassam I. Ibn Salamah, are optimistic about future prospects that this acquisition brings.
Sectors
- Industrial Services
- Energy Sector
- Investment & Private Equity
Geography
- Saudi Arabia – The entire initiative, as well as both ECG's and DAB's core operations and objectives, are rooted in Saudi Arabia.
- MENA Region – The prospect of expanding services across the GCC hints at a broader geographical impact beyond Saudi Arabia.
Industry
- Industrial Services – The acquisition of Dar Al Balad by ECG places a focus on industrial services through their maintenance and engineering solutions for energy infrastructure.
- Energy Sector – With ECG seeking to strengthen position in the Power and Water sectors as part of Vision 2030, the article highlights energy-related services.
- Investment & Private Equity – ECG operates its interventions in industrial services via private equity investments, clearly demonstrated through ECG2.0-Fund2's role in the acquisition.
Financials
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Energy Capital Group (ECG) | Acquiring Company | Company | A Saudi-based investment firm focused on industrial services and global technologies. |
| Dar Al Balad Contracting (DAB) | Target Company | Company | A leading engineering service provider in Saudi Arabia specializing in industrial maintenance solutions. |
| ECG2.0-Fund2 | Investment Vehicle | Company | The fund used by ECG to execute the acquisition of DAB. |
| Saudi Electricity Company (SEC) | Client | Company | A key client of DAB, utilizing its maintenance solutions. |
| STEGIS-KSA | Joint Venture | Company | A joint venture between DAB and STEG-IS focusing on turbine and boiler maintenance. |
| Akram Alrabayah | General Partner | Person | A General Partner of ECG involved in strategic decision-making. |
| Bassam I. Ibn Salamah | Managing Director | Person | Managing Director of DAB overseeing operations and partnerships. |