ALKESH SHARMA / EMIRATES BUSINESS
Offering unmatched security solutions to UAE-based enterprises, dorma+kaba is aiming to capitalise upon immeasurable business opportunities that this region offer. This Switzerland-based company, which is riding high on its recent merger, is catering to its UAE clients from its Dubai corporate office.
Dorma is the trusted global partner for premium access solutions and services, and Kaba is a leading provider of high quality access management solutions, keys, cylinders, physical access systems, enterprise data and time recording, and hotel access systems.
Their merger has added further impetus in the market. dorma+kaba merger has created one of the top three companies in the global market for security and access solutions, with total sales of more than euro 1.9 billion and around 16,000 employees. dorma+kaba is active in over 50 countries and has a presence, through both production sites and distribution and service offices, in all relevant markets.
Following the merger, the dorma+kaba Group is offering leading range of products and services from a single source, thanks to complementary portfolios, value chains and geographical presence in all major markets. It provides excellent opportunities for growth and significant synergy potential should unlock substantial benefits for shareholders.
Dormaâ€™s former family owners have increased their commitment in the business by acquiring a 9.1 percent stake in dorma+kaba Holding AG. Together with Kaba’s family shareholders, they form a strong, long-term anchor shareholder for the combined group. Together, the groups of family shareholders own 27.3 percent of the shares.
Emirates Business talks to Riet Cadonau, CEO and President of dorma+kaba Holding AG, to get a better insight of this recent merger.
What are the details of the merger? How will the customers benefit, with this move?
The merger of the two businesses of Dorma and Kaba to form dorma+kaba was announced last year.
dorma+kaba Group thus becomes one of the top three companies in the world for security and access solutions, with total sales of more than euro 2 billion and more than 16,000 employees in around 50 different countries.
Customers and partners will benefit from a complementary product portfolio, geographical presence, combined strength across the entire value chain, and a global service organisation. dorma+kaba will be able to offer leading products, solutions and services for access to and within buildings from a single source.
How does the merger complement each of the companyâ€™s portfolio
Both customers and partners are enjoying win-win situation with this merger. it has added to to the strengths of both organisations and reinforced the overall market reputation of our products. This merger has facilitated us to offer leading products, solutions and innovative services to our clients from a single source.
Is Dorma+Kaba planning to introduce new lines to the GCC in 2016?
We are currently reviewing our strategy. At this point of time, I cannot give any specifics on this.
We have many products in pipeline â€” we can report attractive launches on both the Dorma products and Kaba products side, with the products always aiming at bringing added value to our customers.
One of our recent innovation project is exivo, a completely cloud-based solution, which functions on a central Kaba platform and provides access control as a service in a holistic approach to our distribution partners and end-users. They subscribe to the desired functionality as a service (â€œsoftware as a serviceâ€). Pilot installations are running and so far market feedback is positive. The product will be available from this spring, first in in a few countries in Europe.
How does the future look like for dorma+kaba in the region?
The dorma+kaba Group follows a clear strategic agenda focussed on profitable growth. In order to exploit the synergy potential created within the Group by the merger to the fullest possible extent, we will, as planned, be implementing targetted concentration and efficiency raising measures as the merger process continues.
The aim is to strengthen dorma+ kabaâ€™s market position in all segments so that we can exploit the
additional growth opportunities in all regions as effectively as possible and thus increase our companyâ€™s value for the long term, in favour of all our stakeholders.
What is the projected growth for the upcoming four years?
As stated during the announcement of the merger last year, our goal is to reach an organic growth of six percent to seven percent in the fourth year after the merger, provided a healthy global economic environment prevails.
Any example of how both the companies have merged operations in the region?
We have been able to address market and client needs better than before, in the GCC and also at global level. Especially in the GCC region, we are convinced that we will meet our clientâ€™s needs even better by providing leading access solutions from a single source window.