Al Fozan Group started out as a single company Al Fozan Building Materials, committed to equalizing this supply and demand imbalance. Firmly established as one of Saudi Arabia's leading companies, Al Fozans founder embarked on an ambitious diversification initiative. In 1983, Al Fozan Electrical Materials was formed. After a brief period of consolidating its market position, the parent company took its diversification a step further, and in 1991 Al Fozan wood Industries came into being. This was followed up by Al Fozan Hardware in 1993 and ARC Engineering Consultants in 1994. Keeping pace with market developments, 1996 saw Al Fozan Steel Industries and Building Construction Company start operations. In 1998 the group established Arnon Plastics Industries and in 2001 United Transformers Electric Company (Utec) followed by United Electronics (eXtra) and Projects & Supplies in 2002. The company entered into joint ventures including Bawan Holding Co. in 2006 and Atheel Holding Co.