Afcons Eyes Huge Growth in Europe and Middle East with New Croatian Deals

Afcons Infrastructure, part of the Shapoorji Pallonji Group, is strategically shifting its focus towards expanding its footprint in Europe and the Middle East, following a slowdown in growth across African markets. This move is marked by the company’s anticipation of securing three major projects in Croatia, valued at over ₹11,300 crore (approximately $1.4 billion).

Key Highlights of Afcons’ Strategic Expansion

• International Order Book Growth: Winning the Croatian contracts is expected to significantly increase Afcons’ international order book share from the current 12%.
• Diversification: The company aims to diversify its project portfolio beyond Africa, increasingly targeting European infrastructure markets.
• Robust Expertise: Known for executing large-scale infrastructure projects including railways, metros, roads, and tunnels worldwide.

Implications of the Croatian Projects

While specific details regarding the project types and timelines are yet to be disclosed, the contracts will likely cover significant infrastructure development, facilitating Afcons’ entry into broader European construction markets. This expansion aligns well with the company’s commitment to quality and timely project delivery.

Market Context and Strategic Moves

The shift is occurring amidst a slowdown in African infrastructure projects driven by economic uncertainties and reduced funding. In contrast, Europe and the Middle East offer more stable and ambitious infrastructure spending opportunities, making them attractive targets for Afcons’ growth.

Future Outlook

Afcons plans to incorporate advanced technologies and sustainable building practices across its new projects, aiming to meet evolving industry standards and enhance competitiveness globally. Stakeholders and market analysts are closely watching the outcome of the Croatian bids as they hold significant implications for Afcons’ long-term growth ambitions and global presence.

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