Ostend, Belgium: Subsidiary of Daikin Industries, Daikin Europe has announced partnering with BPE Partners, an Egyptian private equity firm, to establish Daikin Airconditioning Egypt. Headquartered in Cairo, Egypt, Daikin Airconditioning Egypt began operations in August 2016, said the announcement.

Explaining the reasons behind the expansion, the company said that Egypt’s growing economy, which remains the pillar of growth for the Middle East and Africa, the mega development projects and cities, such as the New Capital City and the New Suez Canal Development Area, and the expansion of Cairo on the East and West borders, is paving the way for large-scale urban development projects. The company further said that the increase in the current population of 18 million to over 40 million people by 2050 in Greater Cairo, coupled with investments in construction of office space, retail centres and healthcare, will lead to substantial growth in the air conditioning market.

By establishing a subsidiary in Egypt, Daikin said that it is laying the groundwork for business development that aggressively competes for large-scale projects by leveraging the local knowledge and investment expertise of BPE Partners, and collaborating with the Daikin Middle East Office in Dubai. It also said that the success it achieves in the Egyptian market will be used as a springboard to future development in the Middle East and Africa.