EcoModular, an Irish-incorporated AI-native volumetric modular manufacturing and technology platform, has announced that it has entered into an agreement with IDS, the integrated turn-key development, project management, modular construction and consultancy platform headquartered in Riyadh, and Modul Consult, the specialist modern methods of construction consultancy based in Latvian capital Riga.
The MoU establishes a phased framework for collaboration across joint marketing, fee-bearing service delivery and the potential for deeper corporate alignment over time.
The framework is structured around three time horizons. In the short term, the parties will go to market together through joint capability statements, credentials packs, pitch materials and bid responses, drawing on the combined track record of each party, said EcoModular in a statement.
In the medium term, IDS and Modul Consult will be available to deliver fee-bearing services to EcoModular projects, joint ventures and group companies, under standalone services contracts, with the option to reinvest part of any fee into the relevant project as a means of aligning long-term interests.
In the longer term, and subject to the earlier phases proving successful, the parties have recorded a shared intention to explore corporate alignment, including the possibility of EcoModular acquiring IDS and Modul Consult following its Nasdaq listing, in each case subject to separate definitive agreements, it stated.
The combined capability brought to market under the framework spans the full lifecycle of volumetric modular development: development consultancy, project and cost management, design and site supervision, Design for Manufacture and Assembly, modular manufacturing, contracting and on-site delivery, factory advisory, procurement and supply chain, facility management, market research and financial modelling, and capital markets and investor relations. Each service line identifies a lead party drawn from the three signatories.
Strategic rationale
EcoModular contributes an industrial-scale volumetric modular manufacturing facility within a Special Economic Zone in Ventspils, Latvia (with annual production capacity of approximately 400,000 sq m direct quay access and crane infrastructure); a contracted European pipeline originated through its partnerships and joint-venture vehicles; and a technology stack spanning Design for Manufacture and Assembly; takt-time production (a lean manufacturing methodology that aligns production speed with customer demand); Building Information Modelling (BIM), Manufacturing Execution Systems; automated guided vehicle and autonomous mobile robot logistics and AI-native production systems.
IDS contributes a leading modular construction consultancy position with Public Investment Fund companies across the Kingdom of Saudi Arabia, including Qiddiya, the Diriyah Gate Development Authority, the Royal Commission for AlUla, Rua Al Madinah and NEOM, together with turn-key development and delivery capability locally registered and operationally embedded in the Kingdom since 2006, and a multi-jurisdictional presence spanning the United Kingdom, Saudi Arabia, the United Arab Emirates, Türkiye and Latvia.
Modul Consult contributes Design for Manufacture and Assembly design leadership, modular supervision, factory automation and manufacturing engineering know-how, procurement and supply chain management capability, and a market research, business planning and financial modelling discipline supporting institutional-grade decision-making. Modul Consult is a member of the Modular Building Institute.
Volumetric modular development
On the strategic deal, EcoModular CEO and Co-Founder Edvinas Cinga, said: "The combined offer addresses the full lifecycle of volumetric modular development from origination and feasibility through design, manufacturing, contracting, delivery and operation."
"IDS and Modul Consult each bring capability that we genuinely could not build in-house in any reasonable timeframe, and that is the test for a partnership of this kind. The medium-term focus on fee-bearing engagements gives all three parties a clear path to scaling the relationship on the strength of delivered work," he stated.
Chairman and Co-Founder Niall Shanahan said: "This framework brings together three highly complementary capabilities and positions our combined platform to address the volumetric modular opportunity across Europe, the Kingdom of Saudi Arabia and the wider GCC in a coordinated way."
"We have deliberately structured the collaboration in phases so that each party can build conviction through real, fee-bearing work before any deeper commitment is contemplated. We are very pleased to be taking this step with Bülent and his team at IDS, and with Ermīns and the team at Modul Consult, ahead of our listing," he stated.
Bülent Peker, Principal of IDS, said: "IDS has been operationally embedded in the Kingdom of Saudi Arabia for two decades, and we see a clear opportunity to bring industrial-scale volumetric modular manufacturing capability to bear on the projects that the Public Investment Fund and its portfolio companies are advancing. EcoModular's Latvian manufacturing footprint, combined with Modul Consult's engineering and supply chain discipline, gives us a credible platform to address that opportunity at the standard our clients expect."
Ermīns Sniedze, CEO of Modul Consult, said: "We have shaped this framework so that each phase has a clear purpose and so that the relationship can deepen on the basis of demonstrated performance."
"Modul Consult is excited to contribute its DfMA, factory advisory and supply chain expertise to the combined offering, and to work alongside EcoModular and IDS on the joint pipeline that the framework is designed to support," he added.-TradeArabia News Service