(MENAFN- The Peninsula)
By Sachin Kumar | The Peninsula
Doha: The listing of Mekdam Holding Group on Qatar Exchange Venture Market provides unique opportunity for the Company to access capital market to manage its financial requirements and fuel the expansion capex at competitive cost. Mekdam Holding Group will be listed on the Qatar Exchange Venture Market QEVM, tomorrow.
“It is indeed a proud moment for us to be listed as the second company on QEVM. We strongly believe in the broad economic benefits offered through larger capital markets with the support of QFMA and QSE by listing and bringing the family-owned business on stock exchange,” Sheikh Mohamed Nawaf NBK Al Thani (pictured), Chairman of Mekdam Holding Group told The Peninsula.
He said that the decision to list the Company on QEVM was taken in response to encouragement from QFMA to list the SMEs and Start-ups on Venture Market.“The listing provides unique opportunity for the Company to access capital market to manage its financial requirements and fuel the expansion capex at competitive cost,” said Sheikh Mohamed Nawaf NBK Al Thani.
“The business was dependent upon financial support from single owner and access to expensive bank finance only, whereas listing provides opportunity to access larger capital market, diversified ownership base with more flexibility and lesser pressure on cash flows on repayment of loans. It also provides more opportunities for the existing owner to diversify the investment and risk portfolio,” he added.
The Company provides comprehensive integrated Information Communication Technology (ICT) services including consultancy and development, technical advisory, supply, implementation, project management, support, and maintenance. Mekdam Holding Group’s net profit reached QR23.6m in 2020.
He said that the future expansion plans for the Company have four directions, namely: increasing the customer base within the local market, increasing the services provided to the market for existing customers, providing services to new customers within the local market, and finally expanding into new geographic areas.
“Our four-way expansion plans are the result of a clear vision to be the leading partner for ICT solutions and services in Qatar and the region. Our mission aspires to successfully and effectively apply the extensive knowledge and experience that the Company enjoys in terms of providing the best technical solutions, in a way that makes ICT sector in the State of Qatar one of the major propellers in the development and prosperity of society and business in response to Qatar’s Vision 2030,” he added.
To achieve these goals, we took several measures, such as: strengthening relations with the world’s leading technology companies, training employees to the highest levels of development and urging them to keep pace with technological developments. Moreover, listing the Company on Stock Exchange is also part of our most important expansion mechanism.
The expansion operations that Mekdam may seek are mainly aimed at reaching a larger market and a larger customer base, reducing competition, achieving economies of scale, and facilitating geographical expansion operations. Ultimately, these goals are aimed at maximizing the benefits of shareholders and enhancing the added values in the communities in which we operate and all future operations.“Our message to the retail investors is that listing of Mekdam Holding on QEVM offers an golden opportunity to invest in technology sector stocks and diversify their portfolios.
The technology sector has advantages that are different from any other sectors. It serves and overlaps with all economic sectors without exception, and this is reflected positively on Mekdam Holding by reducing dependence on a particular sector alone, and the evidence for this is that our customer base has exceeded 4000 customers,” he added.
“We strongly encourage the other SMEs having good performance history to identify the opportunities offered through listing on QEVM. Main market was designed to cater for companies with an established track record, with experienced management teams and who wished to take advantage of the benefits of being a public company but also had the resources and expertise to cater to the disclosure demands and disciplines of being listed,” he added.
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