Emirates Transport (ET) – the largest school transport provider in the UAE – announced that it has agreed to sell an 80% stake in its transport technology subsidiary, Emirates Transport Technology Solutions (ETTS), to NEV Investment, a Chinese-led New Energy Vehicle company in the UAE.
The transaction is a by-product of a Memorandum of Understanding (MoU) that was signed between Emirates Transport and NEV Investment in May 2022 to establish a joint venture for the development, construction, marketing, operation, and management of New Energy Vehicle (NEV) projects in the UAE.
ETTS provides information technology end-to-end solutions to customers across various industries, and in particular the transport sector. ETTS’ different business lines include consultancy, installation and commissioning of telecommunication, surveillance and electronic management systems, in addition to the wholesale trading of electronic transport systems.
The agreement was signed by Faryal Tawakul, Acting CEO of Emirates Transport, and Mohammed Saeed Al Marzouki, CEO of NEV Investment, during an official signing ceremony held at the Museum of the Future Auditorium on October 17th, 2022.
NEV Investment aims to establish the New Energy Vehicle ecosystem in the UAE and the MENA region by introducing leading Chinese New Energy Vehicles and infrastructure facilities such as charging stations. It is a core project that was introduced by Hala China earlier this year – having identified and targeted New Energy as a key economic driver segment.
Sheikh Majid Al Mualla, Chairman of Hala China, said: “NEV Investment is the culmination of the practicality and effort of the Hala China platform as well as the ingenuity and creativity of the Emirati youth. I am confident that the acquisition will accelerate the project trajectory and create a significant increase in employment opportunities across the field – ultimately contributing to the UAE National Strategy.”
Leo Liu, Chairman of NEV Investment, said: “Through this project, we are aiming to introduce industrial funds in the UAE to prepare for the foreseeable influx of investors to the country post-pandemic. We are already in discussion with national level investment entities to create a consortium to facilitate this project.”
Faryal Tawakul, Acting CEO of ET, said: “This is a great opportunity for both parties to work together in a new and exciting market, and to become leading players in the new energy automotive industry in the UAE and the region.
“This agreement is a natural development of our partnership with NEV Investment and Hala China and will open new horizons for ET, and for our clients. It also falls within our strategic goals to diversify our services and invest in new markets, something the company has already taken solid steps to achieve,” added Tawakul. Emirates Transport is a public joint stock company established in 1981 and now operates under the umbrella of the Emirates Investment Authority. Having established its name in the field of school transport initially, Emirates Transport achieved significant investment growth and service diversification over its 40-year history. Today, the company offers its customers, both establishments and individuals, an array of services including, but not limited to transport, vehicle leasing and auto maintenance, in addition to logistics and modification of cars to dual fuel systems using CNG.
