World Gate Capital and KCP Capital Successfully Advise Strategic Sale of Hatcon KSA to Masdar Building Materials, Strengthening Saudi Arabia’s Applied Materials Sector
Advisory firms World Gate Capital and KCP Capital have successfully facilitated the strategic sale of Hatcon KSA, a leading building and construction materials company in Saudi Arabia, to Masdar Building Materials. This acquisition, which marks a significant milestone in the applied materials sector, is particularly noteworthy as Masdar was recently partially acquired by the Saudi Arabia Public Investment Fund (PIF) and is part of the Al Muhaidib Group of Companies.
Hatcon KSA: A Leader in Industrial Solutions
Founded in 1980 and headquartered in Al-Khobar, Hatcon KSA has established itself as a premier provider of industrial solutions across Saudi Arabia and the broader Gulf Cooperation Council (GCC) region. The company specializes in high-performance coatings, industrial equipment, architectural products, and abrasive solutions tailored for demanding industries such as oil and gas, petrochemicals, mining, and infrastructure. Hatcon operates regional offices in Riyadh, Jeddah, Jubail, and Yanbu, and has built a strong reputation through its specialized divisions: Coating & Lining, Equipment, Architectural Products, and Cleaning Blasting Abrasives.
Strategic Implications of the Acquisition
The acquisition by Masdar, which has been active in the Kingdom’s construction sector since 1971, creates a powerful synergy of complementary capabilities. Masdar operates a vast network of 105 outlets across 29 cities in Saudi Arabia and has partnerships with over 150 trusted international brands. The company specializes in distributing a wide range of materials, including steel, timber, insulation, plumbing, electrical supplies, tools, hardware, chemicals, and fasteners.
Integrating Hatcon KSA’s specialized industrial coatings and equipment portfolio enhances Masdar’s position as a comprehensive materials solutions provider. This acquisition supports Saudi Arabia’s ambitious infrastructure and development goals, reinforcing PIF’s commitment to innovation and excellence in the industrial services sector. The transaction is seen as a significant step toward industrial empowerment and aligns with the broader objectives of Vision 2030.
Insights from Key Stakeholders
Ayad Noueyhed, the Founder of Hatcon KSA, expressed gratitude for the advisory services provided by World Gate Capital and KCP Capital. He noted that for over four decades, Hatcon has been dedicated to delivering exceptional industrial solutions. Noueyhed emphasized the importance of selecting advisors who understood both the company’s legacy and its future vision. He praised the advisors for their market insight and technical expertise, which were crucial in navigating the complexities of the transaction.
William George, Managing Partner at both World Gate Capital and KCP Capital, highlighted the significance of this transaction as a defining moment for both advisory firms. He stated that the sale of Hatcon KSA to Masdar is not only one of the largest transactions in the applied materials sector in Saudi Arabia but also a strategic combination that creates substantial value through complementary product portfolios and distribution networks. George noted that the synergies between Hatcon KSA’s specialized industrial solutions and Masdar’s extensive distribution infrastructure position the combined entity to better serve the Kingdom’s growing construction and industrial sectors.
Expertise in Cross-Border M&A
The successful advisory role of World Gate Capital and KCP Capital in this transaction underscores the firms’ deep expertise in cross-border mergers and acquisitions. Their strong relationships across the GCC and Levant regions enable them to execute complex transactions in strategic industrial sectors, which are vital to Saudi Arabia’s economic diversification and Vision 2030 objectives.
About World Gate Capital
World Gate Capital (WGC) is a global platform specializing in mergers and acquisitions advisory, family office consulting, and real estate portfolio management. WGC connects investment bankers, top-tier executives, and high-powered consultants focusing on high-growth sectors in the EMEA region and North America. The firm has extensive experience in sell-side mandates and collaborates closely with entrepreneurs and business owners to support their succession plans and investment monetization.
About KCP Capital
KCP Capital is an entrepreneur-led advisory firm and principal investor focusing on high-growth industries and emerging markets. Based in Dubai, KCP Capital leverages cross-border and cross-cultural expertise to maximize returns for clients and investors. The firm’s practice areas include mergers and acquisitions advisory, direct investments, and professional advisory services across various sectors, including technology, real estate, telecommunications, and industrial solutions.
About Hatcon KSA
Established in 1980, Hatcon KSA is a trusted provider of industrial solutions in Saudi Arabia, delivering high-performance coatings, equipment, architectural products, and abrasives for demanding environments across the GCC. With decades of experience serving the oil and gas, petrochemicals, mining, and infrastructure sectors, Hatcon has built a strong reputation for customer-driven solutions and operational excellence.
About Masdar Building Materials
Founded in 1971, Masdar is a leading building and construction materials company in Saudi Arabia, specializing in the distribution of steel, timber, insulation, plumbing, electrical materials, tools, hardware, chemicals, and fasteners. With a comprehensive network of outlets supported by advanced logistics and professional services, Masdar serves the construction and infrastructure needs of the Kingdom and is a trusted supplier to contractors, developers, and industrial clients nationwide.
Source: www.zawya.com
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Published on 2026-04-22 12:28:00 • By the Editorial Desk
