Dubai - Middle East polyurethane foam manufacturer Intercoil International announced this week a licensing and distribution agreement for the Middle East with US-based Simmons Bedding Co., according to a Khaleej Times report.
"The company expects around 15 per cent growth in sales this year compared to last year and will spend around Dhiram125 million ($34 million) on expansion and new factories within the next 5-7 years," Intercoil Managing Director Hassan Abbas Al Hazeem told Khaleej Times after signing the agreement..
Under the agreement, Intercoil will be the exclusive licensee of Simmons products across the Middle East. Intercoil plans to open eight dedicated Simmons retail locations by the end of 2011, with four planned in Dubai and others across the region.
Intercoil's foam plant in Dubai suffered a fire last Friday (14 May), with clouds of smoke covering the plant in the Al Quoz industrial district.
Intercoil's website says it makes orthopaedic beds and furniture using polyurethane foam. The company recently expanded outside the UAE, setting up a distribution centre and retail outlet in the Lebanon in February 2010.