IHC to acquire 80% stake in UAE's Marlan Holding to expand into space economy

Abu Dhabi’s International Holding Company (IHC) is set to acquire an 80% stake in UAE-based Marlan Holding, in a move to expand into the burgeoning space economy. The acquisition will be executed through IHC's subsidiary, International Tech Group (ITG), pending regulatory clearances, the company announced on Tuesday. This strategic majority purchase will encompass IHC's portfolio with deep technology and the new space economy.

Marlan Holding is the parent entity of Marlan Space, a venture focused on space and related technologies. Its portfolio includes space systems, autonomous operations, and advanced computing. Marlan Space is also the architect behind Abu Dhabi-based Orbitworks, a private space infrastructure company and a joint endeavor with US-based Loft Orbital, aimed at constructing commercial satellites at scale.

Marlan Space's Altair program is a multi-sensor, AI-enhanced Earth observation constellation, comprising multiple satellites and integrating various payloads, including optical, hyperspectral, thermal, infrared, and passive RF systems with onboard processing capabilities.

Syed Basar Shueb, IHC's CEO, pointed out that space is gaining significant traction within the global technology and infrastructure sphere, with applications spanning communications, Earth observation, data, AI, and numerous other sectors. This acquisition positions IHC favorably in the emerging space economy while marrying Marlan Space's capital, capabilities, and robust value networks to fuel its forthcoming growth phase.

IHC, a leading holding company in the Middle East, operates through over 1,300 subsidiaries, including Alpha Dhabi Holding, EasyLease, Palms Sports, Emirates Stallion Group, and Al Seer Marine. Its portfolio also encompasses Aldar Properties, Al Ain Farms, PureHealth, marine services firm NMDC, and produce company NRTC.

Despite geopolitical tensions, such as the ongoing conflict with Iran, IHC has remained steadfast in its investment strategy and is prepared to deploy capital across global markets, according to Shueb. The company recently reported a staggering 220% growth in its second-quarter profit, reaching Dh12.8 billion ($3.5 billion), propelled by a substantial surge in energy and mining revenues. Quarter-over-quarter, revenue increased by over a third to Dh33.4 billion.

This acquisition by IHC aligns with the burgeoning global space economy, fueled by decreasing launch costs, escalating demand for satellite-based data and services, and mounting investments in sovereign space initiatives. Through Marlan Space, IHC aims to leverage Abu Dhabi's burgeoning prominence in advanced technologies while fostering the growth of commercially scalable space infrastructure and services with international reach.

The transaction also fortifies IHC's footprint in technology-driven sectors, bolstering its existing investments in artificial intelligence, digital infrastructure, and advanced technologies.