CAIRO: Johnson Controls Inc., with a regional bureau in Dubai, has partnered with Egypt’s Shams Group and Tiba Engineering Industries to distribute and manufacture products locally as well as to expand in Africa.
Johnsons Control is a global solutions provider that promotes energy efficiency in buildings.
“Each partnership is exclusive,” Magdy Mekky, Johnson Control’s vice president and managing director for the Middle East, told Daily News in a phone interview.
The partnerships are not acquisitions, Johnson Controls will simply be working with both Egyptian companies to distribute and manufacture products.
“We have no intentions of making acquisitions anytime soon, Johnson isn’t ready for this now,” Mekky pointed out. “But we have the opportunity to work and participate with Tiba and Shams and we are bringing our technologies and ideas to the market.”
The partnership comes as a part of Johnson Controls’ plans to expand and strengthen its presence in Egypt.
“We want to reach out to the African markets as well as Turkey, and Egypt, because the talent is there and the skill is there,” he added.
According to Mekky, Egypt is advantaged with a mature market that already has available technical competence.
He pointed out this is why Egypt will be able to provide a base for Johnson Controls to further expand in African markets.
“Our partnerships with the Shams Group and Tiba Engineering Industries are the logical next steps for expansion in the region and for providing our customers with additional quality products and service,” said Mekky.
“Shams Group will use its network to expand our sales reach in the region and Tiba Engineering Industries will extend Johnson Controls’ research and development, product design and manufacturing capabilities.”
Mekky noted that Johnson Controls’ relationship with Egypt dates back to the early 1990s where York ammonia refrigeration units became available.
In fact, Johnson’s acquisition of York in 2005 allowed the company to offer “end-to-end” solutions that would decrease operating costs, ensure rapid return on investment, and boost productivity.
However, Mekky added that since the company’s breakout from York, they have been out of the market for a while and their presence in Egypt dwindled. Today, however, with their new partnerships, this is set to change.
Johnson Controls has three manufacturing facilities in the Middle East in Jebel Ali, Dubai; Jeddah, Saudi Arabia and Izmir, Turkey.
The company has also worked on several projects in the region including Cairo’s City Stars mixed-use facility as well as Cairo Festival City.
Outside of Egypt, Johnson has worked on Burj Khalifa, the world’s tallest skyscraper in Dubai, the Pearl Development in Qatar, the New Doha International Airport, the Bahrain Bay Project, the Kingdom and Faisaliah Towers, Jebel Al Qala, and the expansion of the Holy Haram in Saudi Arabia.
The company, which has roots dating back to 1885, provides equipment, controls and services for heating, ventilating, refrigeration, air-conditioning, and security systems. They’ve also been involved in 500 renewable energy projects including wind, solar, and geothermal technologies.
Globally, the company has helped reduce carbon dioxide emissions by 16 million metric tons.
With customers in over 150 countries, the firm creates products, services and solutions to optimize energy and operational efficiencies of buildings; lead-acid automotive batteries and advanced batteries for hybrid and electric vehicles; and interior systems for automobiles.
Magdy Mekky and honoring Hani Shams, chairman of Shams Group.
