Septech announced that it is expanding its Middle Eastern operations with the establishment of state-of-the-art offices and factories in the Kingdom of Saudi Arabia.
The water giant has entered into a strategic joint venture with a Saudi partner, Mawrid Holdings, to form Septech Saudi Arabia. The company’s head office will be based in Riyadh, while the factories will be set up in the Eastern and Western provinces. Septech will retain a majority stake in the partnership.
“We are very excited about Septech’s entry into Saudi Arabia. We look forward to introducing our latest technologies in water / water reuse, desalination and utilities management expertise to address the country’s growing water challenges,” commented David Heffernan, CEO, Septech. “Mawrid Holding’s strategic strength lies in the fact that they have a deep understanding of the marketplace and the related challenges and opportunities that it presents.”
Water scarcity is a critical issue that the region is dealing with. According to a report released by Birzeit University in Palestine, the MENA region has five percent of the world’s population and less than one percent of the world’s available water.
Water reuse technology has surfaced as an important solution to this serious threat. According to Global Water Intelligence water expert, Christopher Gasson, the water reuse market in Saudi Arabia will be worth USD 3.4 billion between 2009 and 2016, making it the largest water reuse market in the world after the United States and China.
“There is great potential in the water reuse market in Saudi Arabia,” commented Mr. Mansour Swaidan, Vice Chairman, Mawrid Holdings. “This is the first strategic water infrastructure investment that we have undertaken, and Septech are the proven industry leaders who will bring the latest technology and expertise to the Kingdom, which are key solutions in addressing Saudi Arabia’s water challenges,” he said.
Mr. Heffernan forecasts that Septech Saudi Arabia’s annual turnover will exceed SR 300 million, with and anticipated a growth rate between 20 to 30 percent in two to three years, respectively.
“We are confident that we will exceed our targets and establish Septech as a key player in the country’s water infrastructure and utility sector because we are poised to introduce new technologies that were not available before and will have a significant impact on the market,” stated Mr. Heffernan.
“Our consortium in Saudi Arabia includes Septech’s Global and Middle East experience with the strength of Mawrid Holdings to form a world-class alliance that will remain committed to Saudi Arabia in its efforts to address its water issues,” concluded Mr. Heffernan.