Knauf acquires United Mining Industries

Knauf International GmbH has entered into an agreement to acquire a 63.2% stake in United Mining Industries Company, a Saudi Arabian firm, for approximately SAR 500 million (about $133 million). The transaction involves the purchase of stakes from Rashid Developments Limited, Abdulkadir Al Muhaidib and Sons Company, and Al Moajel Trading and Contracting Company. The deal, announced on January 21, 2026, remains pending approval.

The acquisition is a strategic move by Knauf to bolster its presence in the construction materials sector, leveraging United Mining Industries' operations in the Middle East. United Mining Industries specializes in producing gypsum and other related industrial materials, aligning with Knauf's core business in building materials. The purchase will expand Knauf's manufacturing capabilities and market reach in a region marked by significant infrastructure development.

For Knauf, this acquisition is expected to provide a stronger foothold in the burgeoning Middle East construction market, where demand for building materials continues to rise amidst ongoing urbanization and development projects. By integrating United Mining Industries into its portfolio, Knauf aims to enhance its product offering and operational efficiencies, positioning itself to capture a broader share of the sector's growth.

This deal comes at a time when the construction materials industry is experiencing consolidation, with companies seeking to expand capabilities and scale to meet growing demand. Knauf's decision to invest in United Mining Industries reflects a broader industry trend of strategic acquisitions aimed at securing raw material sources and expanding market presence.

Pending regulatory approvals, this transaction marks a significant expansion effort by Knauf in the global construction supply chain. Finalization of the deal will depend on the resolution of any remaining regulatory hurdles, as well as the successful integration of United Mining Industries’ operations into Knauf’s existing business structure.