Oman’s Qais Zawawi Group has pulled out of a joint venture with Gujarat based Ashapura Group, the company said, adding that it had bought out the complete shares of Ashapura Group in Ashapura Zawawi Minerals LLC.
A new company has been formed — Zawawi Minerals LLC which is a 100 per cent Omani firm owned by the Qais Zawawi Group.
The joint venture company had been established in year 2007, with a view to making large investments into mining and processing of Ground Calcium Carbonate and Gypsum which are multi- application minerals popularly used in industries like paper, plastics , paint , cement and others. The JV was also about work in a field of value added products like clinker, white cement and gypsum board.
“Some of the major reasons for this pull out are Ashapura Group’s present serious financial crisis and the legal problems on account of cancellation of their Bauxite Mining License by Government of Gujarat, India, in addition of exchange fluctuation losses and huge claims from shipping companies, according to company sources and as indicated in their Press release.”
Alawi Enterprises LLC, founded by the Late His Excellency Qais Al Zawawi, former Deputy Prime Minister of Oman, is the holding and management company for Qais Zawawi Group. The Group has interest in diversified businesses spanning from Pharmaceuticals to construction. The Group, is known is for its financial strength and reputation and holds investments beyond the Gulf Region, in Europe and USA.