THE UAE’s Depa Limited, one of the world’s leading interior contracting companies, has announced it has acquired the assets of Germany-based Loher Raumexklusiv GmbH’s luxury interiors business through its wholly-owned German subsidiary, Vedder, for an undisclosed sum. 

Founded in 1931, Loher specialises in luxury interiors and bespoke furniture for yachts, aircraft and residences. As part of the transaction, Depa has acquired a substantial order book and a state-of-the-art 15,000 sq m factory with cutting-edge machinery.  The company is based near Munich in Lower Bavaria, Germany.

Mohannad Sweid, CEO of Depa, commented: “This acquisition is a highly complementary fit with Vedder and combining both facilities will make us one of the largest yacht interiors fit-out specialists in the world. Depa’s yachts business has been a strong and consistent revenue generator, highlighted by a strong order book and recent contract wins totalling Dh235 million ($63.9 million). The yacht-building market continues to perform well and this acquisition will increase our already strong market share and allow us to derive significant business efficiencies as we incorporate assets under Vedder’s brand.

“This acquisition also gives us a first entry point into the world of private jet interiors, which is a natural business extension. The market for luxury aircraft interiors has grown exponentially over the last few years, driven predominately by Asia and Africa, and by combining our range of capabilities and services we see this as an attractive market with genuine long-term prospects and opportunities.”

Loher’s headquarters near Munich

Loher’s client references in the aircraft sector include Lufthansa Technik, EADS Sogerma and numerous private jets. According to Frost & Sullivan’s November 2011 market insight report, the commercial aircraft cabin interior markets is forecasted to grow at a CAGR of 8.7 per cent with most revenue opportunities occurring after 2016 when new aircraft programmes are expected to be introduced. Depa says the current retrofit market is booming, fuelled by significant numbers of aircraft returning to operations after inactivity during the crisis period.

Depa is a leading interior contracting company operating in the Middle East, North Africa and Southeast Asia regions. Operating principally in the luxury fit-out industry, its main areas of business cover luxury hotels, infrastructure and public sector amenities such as hospitals and airports, high-end residential properties, retail outlets, as well as yachts. The company is listed on Nasdaq Dubai and has Global Depositary Receipts on the regulated market for listed securities of the London Stock Exchange.

The range of business activities performed by Depa comprises interior contracting, manufacturing and procurement.

With more than 7,000 employees worldwide, the company operates through an integrated network of subsidiaries and affiliates located in the UAE, Saudi Arabia, Qatar, Egypt, Jordan, Morocco, India, Malaysia, Thailand, China, Singapore, the UK, Germany and the US. It has executed large and complex projects in over 20 countries including the Emirates Palace Hotel (Abu Dhabi), Four Seasons Hotel (India), Grand Hyatt (Malaysia), Trump International Hotel (Las Vegas), Tokyo Midtown (Japan), Museum of Islamic Arts (Qatar), Baku Flame (Azerbaijan) and Marina Bay Sands (Singapore).