UAE Vice President and Prime Minister and Ruler of Dubai Sheikh Mohammed bin Rashid al-Maktoum has directed Dubai-based developer Meraas to become part of Dubai Holding.

In a statement, the Dubai Media Office said the companies are joining forces “in an effort to sustain and advance growth through a unified and integrated vision that builds on gains, spurs efforts and boosts Dubai’s global competitiveness”.

The statement added that Meraas will become part of Dubai Holding, under the leadership of Sheikh Ahmed bin Saeed al-Maktoum.

The two companies had been expected to become united as one entity since 2017, when the former Meraas chairman Abdulla al-Habbai also became the chairman of Dubai Holding. Al-Habbai was then replaced as chairman of both companies by Sheikh Ahmed in November 2019.

Since then, the two companies have been operating together closely. In March, they issued a joint statement saying that they would make a AED1bn ($272m) economic relief package available aimed at supporting their business partners and customers that have been impacted by the novel coronavirus (Covid-19) pandemic.

Dubai Holding is a global investment holding company and includes subsidiaries such as hotel operator Jumeirah and real estate developer Dubai Properties. Meraas is a developer and operator of real estate and leisure assets in Dubai, including Bluewaters, La Mer and Citywalk.