Sulja Bros. Building Supplies, Ltd (SLJB)

[Bramabill]

here is a post I found on another message board that could be of interest.

18 Sep 2006, 08:56 PM EDT
Msg. 24265 of 24624
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A word of caution on SLJB.PK. I've read some on SLJB and note that their big "hook" is a huge contract to provide cement to Abu Dhabi. I lived there for three years about 20 years ago. Lots can change in 20 years, but tribal influence in the Bedouin World probably isn't one of them.

The right to engage in critical businesses is rigidly controlled by the ruling families. In Abu Dhabi it's the Al-Nayihans, in Dubai, the Al-Maukthoms. There is a very distinct pecking order of powerful tribal families. In Abu Dhabi the two most powerful families, after the ruling family, were the Hamdans and the Hamoudahas. There was descending order of families under them.

I don't remember which family controlled the import of bulk cement into Abu Dhabi, but I do remember that it was tightly controlled by them. Cement is the most important building material throughout the Gulf. There were lots of Nationals involved in cement products and batch plants, but one family in each Emirate controlled bulk cement. At he time, and probably to today, there were only two bulk off loading terminals for cement. Mina Zayed in Abu Dhabi and Mina Jebej Ali in Dubai.

There were a couple of bulk cement plants in the Emirate of Ras-Al-Khaimah also, but most bulk cement came in on ships.

The point to all this is that it's very surprising to me that a tiny building supply company with two stores in Ontario could suddenly close a deal for $350,000,000 worth of cement in the UAE.

I hope you guys all make some good money with SLJB.PK, but I'd advise you to be very nimble and beware of thinking of it as a long investment.

I will not be stalking SLJB. It's just that I had a little insight and thought I would share it.