According to multiple market participants and informed sources, the UAE-based sanctioned rebar re-roller Hamriyah Steel is close to being acquired by a Jordanian semi-finished and long steel trader.

The acquiring businessman, who also owns an induction furnace-route rebar plant in Saudi Arabia, has taken a proactive approach by appointing an unofficial "shadow managing director" to thoroughly assess Hamriyah's operations and financials ahead of the anticipated takeover.

Hamriyah Steel, located in the Hamriyah Free Zone in Sharjah, is a leading steel manufacturer in the UAE capable of supplying 1 million metric tons per year of rebar to the local construction market.

However, the company has faced challenges due to sanctions imposed on it. The impending acquisition by the Jordanian firm is seen as a strategic move to revive Hamriyah Steel's operations and position it for growth in the region's construction sector.

The new owner's experience in the steel industry and existing presence in Saudi Arabia are expected to provide synergies and opportunities for expansion. While the financial details of the deal remain undisclosed, the acquisition is anticipated to be finalized soon, marking a significant development in the UAE's steel industry landscape.