Avanceon unveils aggressive expansion plans

KARACHI: Avanceon Limited will expand its product portfolio for the oil and gas sector in the UAE and Africa, as the PSX-listed tech firm will reach $100 million-mark by 2024.

The company is also expanding in the markets where it already has a presence, i.e., Qatar, the UAE and the Kingdom of Saudi Arabia.

At a briefing, the company management highlighted their projection of topline to clock-in at Rs8.5 billion in CY21 denoting a revenue of Rs4.9 billion in the fourth quarter of CY21.

“The international business contributes 65 per cent to 75 per cent to the company’s topline; hence, the company benefits from the rupee devaluation,” an analyst at KASB Securities said.

The industrial automation systems company would soon announce an equity joint venture with one of the largest KSA groups. Additionally, Avanceon is in the final stages of another joint partnership with one of the top five companies in the UAE and Africa.

According to the management, Avanceon also plans on expanding into new product verticals such as oil and gas sector, infrastructure, and FMCGs. This includes chemical injection skids, solar and energy-efficient solutions, and a complete upstream modular oil well skid package.

Moreover, to achieve their desired future growth, the company emphasised investing in resources and training, which will eventually lead to efficient operations, and for this purpose, the company plans on establishing an HR factory.

Avanceon will completely shift to a cloud-based setting to improve the quality of services provided. The management believes, at present, its competitors do not have the bandwidth and the resources to invest in such a venture.

Going forward, Avanceon plans on entering the textile sector through Octopus Digital Limited. The management is pursuing several leading textile companies for this. “This would prove beneficial for the growth in profitability of Octopus Digital Limited,” the KASB Securities analyst said.

Avanceon is the leading provider of automation, control systems integration, proprietary energy management solutions and support services. Avanceon Limited is the holding company of the Avanceon Group. Having two wholly-owned subsidiaries and an associated undertaking with various branches in different regions such as Pakistan, the UAE, Qatar, Kingdom of Saudi Arabia and United States of America, Avanceon employs 200 plus qualified and trained resources.