Kuwait Projects Company (Holding), known as KIPCO, is an investment holding company in the Middle East and North Africa (MENA) region. KIPCO, with consolidated assets of $40.1 billion as of 31 December 2023, operates in 20+ countries across multiple industries. KIPCO is a multi-sector operator with portfolio companies in commercial banking, petrochemical & oil services, foodstuff, asset management & investment banking, media, real estate, healthcare, logistics, and education.

History

KIPCO was incorporated on 2 August 1975 under Article 94 of the Kuwaiti Commercial Companies Code, Law No. 15 1960. Since incorporation, the company has grown and made investments in a diversified portfolio of companies operating throughout the Gulf Cooperation Council (GCC ) and the wider Middle East and North Africa (MENA) region.

Milestones

Corporate governance

KIPCO launched its annual Shafafiyah (transparency) investors’ forum in 2004 as a way of supporting transparency. The forum is highlighted by KIPCO and its Group companies shedding light on its ethical and responsible decision making methods for the year.

Board of Directors

Executive management

Shareholding structure

KIPCO's principal shareholder is Al Futtooh Holding Company (AFH), a Kuwaiti holding company owned by members of the Kuwaiti ruling family. Post merger, AFH continues to be the largest shareholder with 31.91% ownership. The following table sets out the percentage holdings of the company's major shareholders:

Group structure

The principal subsidiaries and associates of KIPCO are in commercial banking, petrochemical & oil services, foodstuff, asset management & investment banking, media, real estate, healthcare, logistics and education sector. The table below sets out the KIPCO's controlling or significant stakes in key portfolio companies*: ∗ Effective stakes as of 31 March 2024

Principal companies/ key subs and associates

Business strategy

The key elements of the group's strategy are to:

Regional presence

The group and its associates have a presence in the following countries in the MENA region:

Credit ratings

Sustainable Growth & Impact

With a commitment to transparent governance, KIPCO integrates Environmental, Social, and Governance (ESG) principles into its operations. This dedication has earned KIPCO recognition with four prestigious awards from Forbes, affirming its commitment to sustainability and responsible practices. These efforts include the development of a comprehensive ESG Framework and an ESG Committee to ensure alignment with objectives. Additionally, KIPCO prioritizes transparent communication, engaging with internal and external stakeholders through regular dialogue and recognition programs to foster positive multilateral impacts.

Environmental Initiatives

KIPCO has aligned its environmental efforts with Kuwait's Vision 2035, focusing on resource management and climate action. The company collaborates with NGOs, industry bodies, and government entities to promote sustainability initiatives across Kuwait. Although KIPCO’s carbon footprint is minimal, primarily stemming from office-based operations, KIPCO aims to further reduce greenhouse gas emissions through initiatives such as Digital Document Management, which enhances environmental responsibility while improving financial efficiency. Additionally, KIPCO’s strategic IT investments have led to significant cost savings and environmental benefits. The company transparently reports its greenhouse gas emissions, covering Scope 1, 2, and 3 emissions. In 2023, KIPCO reported Scope 1 emissions of 8.17 tCO2e, Scope 2 emissions of 1,575.00 tCO2e, and Scope 3 emissions of 162.2 tCO2e, reflecting its ongoing commitment to reducing environmental impact.

Social Responsibility

KIPCO engages with the Kuwaiti community through a variety of initiatives designed to foster collaboration, empowerment, and social support. The company sponsors entrepreneurship platforms, collaborates with local organizations, and participates in conferences. From 2022 to 2023, KIPCO increased its investment in community initiatives by 380%, spending KD 635,145. This rise in community support highlights KIPCO’s commitment to corporate social responsibility. Employees also actively participate in volunteer work, and the company contributes financially to charitable causes. KIPCO is also dedicated to investing in its workforce. In 2023, the company spent KD 119,500 on employee training and engagement activities, a 75% increase from the previous year. KIPCO has maintained a Kuwaitization rate of 28%, with 41% of managerial roles held by Kuwaiti nationals. The company promotes gender diversity, with women representing 38% of its workforce and initiatives in place to increase female leadership.

Governance Practices

KIPCO’s corporate governance framework is foundational to its operations, emphasizing transparency, accountability, and sustainability. The company’s Board of Directors includes 20% female representation, and its executive leadership reflects a commitment to diversity, with 23% of executive managers being women and 46% of leadership roles held by Kuwaiti nationals. In its procurement practices, KIPCO prioritizes local suppliers, with 68% of suppliers being local. In 2023, the company directed 77% of its procurement expenditure—KD 1,309,114—toward local suppliers, significantly exceeding foreign supplier spending. KIPCO maintains strict adherence to compliance regulations, reporting zero instances of non-compliance or corruption incidents in 2023. Additionally, KIPCO’s IT Department has implemented several system and data security upgrades, resulting in zero data loss incidents during the year. The company’s total IT expenditure in 2023 was KD 129,295, reflecting its focus on technological resilience and security.

Corporate social responsibility

KIPCO Sponsors 10th Youth Empowerment Symposium

KIPCO Holding served as the Strategic Sponsor of the 10th Youth Empowerment Symposium (Tmkeen), marking the 10th anniversary since the event’s launch. Over the decade, the symposium hosted more than 30 international leaders, 95 local leaders and 300 growing entrepreneurs. This is a testament to KIPCO’s longstanding commitment to promote entrepreneurship and empowering young leaders. The initiative aimed to provide a platform for youth to exchange ideas, learn from industry experts, and explore opportunities for entrepreneurship.

KIPCO partners with LOYAC to offer training opportunities for teens

KIPCO’s partnership with LOYAC, a local non-profit organization that aims to empower youth to become impactful leaders in society. Through this partnership, KIPCO will be sponsoring the ‘7 Habits for Highly Effective Teens’ program sessions that will be offered to youth aged 12 to 18 throughout the year. The ‘7 Habits’ is a Franklin Covey Education program. The goals of this life empowerment program include increasing self confidence and self-esteem, being responsible, defining one’s values, recognizing and prioritizing goals and resisting peer pressure.

KIPCO Group inaugurates The Late Salwa Sabah Al Ahmad Al Sabah Stem Cell and Umbilical Cord Center

Under the auspices of the Minister of Health, HE Sheikh Dr Basel Humoud Al Sabah, KIPCO – the Kuwait Projects Company (Holding) – inaugurated the Late Sheikha Salwa Sabah Al Ahmad Al Sabah Stem Cell and Umbilical Cord Center. The center was built with a donation of KD 7 million made by Masharee Al Khair Charity Organization on behalf of KIPCO Group. This is the first center in the Gulf region to be dedicated to stem cell research and the storage of umbilical cords.

The Protégés Program

The Protégés is a mentorship program designed to provide young people with opportunities to learn life and leadership skills, through combination of travel, lectures, group activities, challenges and games for around 6 weeks. Around 25 Protégés are selected based on a thorough screening process ensuring that they meet high standards of excellence. KIPCO is the strategic partner of the program and is supported by nine Group companies.

Dyslexia Campaign

Dyslexia Campaign is KIPCO's initiative for public awareness about Dyslexia. The campaign – which featured TV and press advertising to highlight the problems faced by those people suffering from dyslexia – was the first of its kind in the Persian Gulf region. In 2008 KIPCO won an award for the campaign on dyslexia at Kuwait's first Corporate Social Responsibility (CSR) Awards.