M'hammed Kabbaj: A Rising Star in the Construction Industry
M'hammed Kabbaj, the chairman and co-founder of the Moroccan construction powerhouse Société Générale des Travaux du Maroc (SGTM), has emerged as a significant figure in the world of wealth, with his stake valued at approximately $1.72 billion. Despite this impressive fortune, Kabbaj has yet to appear on major global wealth listings, a fact that underscores the relatively low profile of Moroccan billionaires on the international stage. Holding 22.2 million shares, which equates to a 37% ownership of SGTM, Kabbaj's financial position is derived from the company's recent public listing, which has transformed the visibility of his wealth. At the closing price of 715 dirhams on the Casablanca Stock Exchange, this stake converts to an eye-watering 15.87 billion dirhams, highlighting the potential for substantial growth in the Moroccan construction sector.
The Legacy and Growth of SGTM
Founded in 1971 by M'hammed and his elder brother, Ahmed Kabbaj, SGTM has forged a formidable legacy in a market traditionally dominated by French and international contractors. Both brothers, trained as engineers in France, initially struggled against the odds but found success with complex projects that showcased Moroccan capabilities. Notable early achievements included the wholesale market in Rabat and significant contributions to major infrastructure projects such as dams and airports during the construction boom of the 1970s. The Kabbaj family's ties to national history were further cemented when their brother, Commandant Mohammed Kabbaj, became a national hero after reportedly saving King Hassan II's life during a tragic incident in 1972.
Under the leadership of Ahmed Kabbaj, who passed away in January 2019, SGTM expanded significantly, diversifying its portfolio to include high-profile projects like the Hassan II Mosque and the Maroc Telecom tower. This growth has continued under M'hammed Kabbaj's leadership alongside his nephew, Hamza Kabbaj, who took over as CEO, steering the company into the future with ambitious goals, including the construction of Dakhla Atlantique port, a project valued at approximately one billion euros. Today, SGTM employs over 21,000 staff and operates a diverse fleet of machinery across multiple African nations, reflecting its burgeoning influence in the region.
In December 2023, SGTM made headlines with its successful public offering, raising about 4.8 billion dirhams. This historic listing attracted overwhelming investor interest, with demand reaching 171.1 billion dirhams, making it the largest IPO by a private company on the Casablanca exchange. Following the offering, Kabbaj retains significant control over the company, with a carefully structured shareholders' agreement that ensures both branches of the Kabbaj family maintain their respective stakes while fostering collaborative governance.
Despite the impressive valuation of Kabbaj's public holdings, it is crucial to note that this figure does not encompass his entire wealth. The listed value of $1.72 billion represents only a fraction of his overall assets, as it excludes various sister companies and personal holdings not disclosed in the prospectus. Nonetheless, the transparency associated with a publicly traded stake provides a tangible benchmark of Kabbaj's wealth, establishing him as a notable figure in Morocco's economic landscape.
As reported by billionaires.africa.
