A collaborative research project between New York University Abu Dhabi and Tharawat Family Business Forum

Spotlight

HOLDAL Group

Information last updated on 17 April 2022

Snapshot

Founding

Family Name:

Abou Adal

Founder’s Name:

Georges Abou Adal

Earliest Documented Business Name:

Groupe Georges Abou Adal & Cie.

Founding Year:

1947

Founding Location:

Lebanon

Today

Current Operating Status:

Operating

Family Business Name:

HOLDAL Group

Headquarters Location:

Beirut, Lebanon

Key Industries:

Distribution and Retail, Pharmaceuticals[1]

Number of Employees:

500-1000[2]

ABOUT THE FOUNDER

Georges Abou Adal was born in 1920 to a well-educated family in Beirut. After obtaining his high school degree from a Jesuit school in 1938,[3] he moved to Marseilles to study chemistry. In the summer of 1939, Abou Adal visited Lebanon to see his family. The onset of World War II prevented him from returning to complete his studies, and he accepted an offer from the School of Dame de Nazareth to become a chemistry teacher.[4]  Abou Adal quit his teaching job after a couple years and undertook his first significant entrepreneurial endeavor — selling narit (paper bags filled with olive pits) as an alternative fuel to wood.[5]

 

In 1944, Abou Adal married Sonia Cattan, who came from a well-known Greek Catholic family that owned movie theaters across Lebanon.[6] Through his father-in-law and the latter’s business in the entertainment industries of both Lebanon and Syria, Georges Abou Adal built connections in the region’s entrepreneurial space. After the war’s end, the young couple traveled abroad extensively, with the vision of bringing new ideas and products to the country.[7] [8]

FOUNDING STORY

In the aftermath of World War II, Lebanon was in dire need of development. Georges Abou Adal saw that there was a shortfall in the paper and ink supply for the country’s press industry. He launched his import business by importing ink from the Gloucester & Sekolah company.[9] He then became the first to import Reynolds ballpoint pens to Lebanon. By 1947, he had established Georges Abou Adal & Cie with two independent divisions — watches and pharmaceutical products. In 1949, his younger sister, 22-year-old Claire Abou Adal, joined the firm. Claire handled everything from secretarial duties to recruitment to overseeing financial accounts.[10] Having previously worked with a local brand agency, Claire was able to leverage networks both within and outside Lebanon, including in Switzerland. She soon became Georges’s “right hand” and the firm’s “guardian,”[11] building pivotal relationships with several major business owners.[12] Through this network, George Abou Adal built further relationships with the Dupont lighter company and Patek Phillippe watch manufacturer.[13]

GROWTH PHASE

Throughout the early 1950s, Groupe Georges Abou Adal & Cie. benefited from Lebanon’s advantageous geopolitical position, its socio-religious equilibrium, and the emergence of the Arab oil economy.[14] As the business grew, the company opened a second office, next door to an Armenian church. Additional offices followed — in Achrafieh, Beirut’s historic district, and then another in Sursock.[15] Sister companies were established in Syria (Abou Adal & Machhara), Iraq (Georges Abou Adal Iraq) and Egypt. Georges saw Syria in particular as crucial to his vision of market expansion, and he sent his brother, Gabriel Abou Adal, to manage the company’s new store there.[16] Within a decade, Gabriel succeeded in turning a three-person operation into one of the biggest pharmaceutical companies in Syria.

 

In 1956, Georges Abou Adal established an import deal with Omega and, the very next year, he signed contracts with Zenith and Movado.[17] Deeply concerned by tensions in the MENA region —which, among other effects, had forced him to cease operations in Iraq — Abou Adal started a press company in the late 1950s, launching a newspaper, Al Osbou Al Arabi, that aimed to promote Lebanon’s position in the Middle East and the country’s commitment to regional development.

[18]

By the end of 1961, Abou Adal’s business had $4.7 million in turnover. In 1965, he set up a food and beverage company in collaboration with Jean-Pierre Sara, owner of SAB. Abou Adal owned 80 percent of the new firm, Société de Gestion des Produits Alimentaires (SOGEPA). He became a distributor for Lancôme in the late 1960s, and subsequently for l’Oréal after its purchase by Lancôme.[19] His interests were turning toward politics during this period, and he slowly stepped aside from directly managing the business, handing over increasing responsibility to his three children: Freddy, Raymond, and Charles.[20]

 

The business continued to grow until increasing political instability led to the eruption of the Lebanese Civil War in 1975 and a consequent breakdown of government structures.[21] People began to leave to pursue opportunities outside of the country,[22] significantly undermining business operations. By the early 1980s, the Lebanese army had severely deteriorated, opening the door to further unrest.

TODAY

The Abou Adal family persevered through this turbulent era in Lebanese history, and in 2014, its holding company, now known as the HOLDAL Group, was recognized by Forbes Middle East as one of the “Top 100 Private Companies Making an Impact in the Arab World.” The company’s luxury-brand business in Lebanon, Syria, and Iraq still included l’Oréal and Patek Philippe, alongside many other distinguished trademarks such as Lacoste and Colgate-Palmolive. As of 2021, third-generation Georges is the CEO of HOLDAL Group, and his siblings — Maissa, Syma, Nour— are involved at various levels. In response to the COVID-19 pandemic, the group established a set of task forces to ensure the safety of its employees and effectively manage the business through the unprecedented crisis.[23]

Notes

Photo Credit: Advertisement for a perfume by "Groupe Georges Abou Adal" (now known as HOLDAL Group), 1960s. Source: Abou Adal family.

[1] HOLDAL Group – Our Story. https://www.holdalgroup.com/OurGroup. 17 Apr. 2022

[2] “What Is Holdal? Company Culture, Mission, Values.” Glassdoor, https://www.glassdoor.com/Overview/Working-at-Holdal-EI_IE3974122.11,17.htm. 17 Apr. 2022

[3] Interview with Freddy Abou Adal. Oct. 23, 2017, Family Business Histories, Research Project, Tharawat Family Business Forum and New York University Abu Dhabi

[4] Interview with Claire Abou Adal. Oct. 24, 2017, Family Business Histories, Research Project, Tharawat Family Business Forum and New York University Abu Dhabi

[5] Interview with Nour Abou Adal. May. 2, 2019, Family Business Histories, Research Project, Tharawat Family Business Forum and New York University Abu Dhabi

[6] Interview with Charles Abou Adal. Oct. 23, 2017, Family Business Histories, Research Project, Tharawat Family Business Forum and New York University Abu Dhabi

[7] Interview with Claire Abou Adal. Oct. 24, 2017, Family Business Histories, Research Project, Tharawat Family Business Forum and New York University Abu Dhabi

[8] Interview with Nour Abou Adal. May. 2, 2019, Family Business Histories, Research Project, Tharawat Family Business Forum and New York University Abu Dhabi

[9] Interview with Claire Abou Adal. Oct. 24, 2017, Family Business Histories, Research Project, Tharawat Family Business Forum and New York University Abu Dhabi

[10] Interview with Nour Abou Adal. May. 2, 2019, Family Business Histories, Research Project, Tharawat Family Business Forum and New York University Abu Dhabi

[11] Interview with Freddy Abou Adal. Oct. 23, 2017, Family Business Histories, Research Project, Tharawat Family Business Forum and New York University Abu Dhabi

[12] Interview with Charles Abou Adal. Oct. 23, 2017, Family Business Histories, Research Project, Tharawat Family Business Forum and New York University Abu Dhabi

[13] Interview with Freddy Abou Adal. Oct. 23, 2017, Family Business Histories, Research Project, Tharawat Family Business Forum and New York University Abu Dhabi

[14] Crisis in Lebanon: Journal of Palestine Studies: Vol 5, No 1-2. https://www.tandfonline.com/doi/abs/10.2307/2535710. 17 Apr. 2022

[15] Interview with Freddy Abou Adal. Oct. 23, 2017, Family Business Histories, Research Project, Tharawat Family Business Forum and New York University Abu Dhabi

[16] Interview with Freddy Abou Adal. Oct. 23, 2017, Family Business Histories, Research Project, Tharawat Family Business Forum and New York University Abu Dhabi

[17] Interview with Freddy Abou Adal. Oct. 23, 2017, Family Business Histories, Research Project, Tharawat Family Business Forum and New York University Abu Dhabi

[18] Interview with Raymond Abou Adal. Oct. 24, 2017, Family Business Histories, Research Project, Tharawat Family Business Forum and New York University Abu Dhabi

[19] Interview with Raymond Abou Adal. Oct. 24, 2017, Family Business Histories, Research Project, Tharawat Family Business Forum and New York University Abu Dhabi

[20] Family tree – Abou Adal. Family Business Histories, Research Project, Tharawat Family Business Forum and New York University Abu Dhabi

[21]Paul, Christopher, et al. Paths to Victory: Detailed Insurgency Case Studies. RAND Corporation, 26 Sept. 2013. www.rand.org, https://www.rand.org/pubs/research_reports/RR291z2.html. 17 Apr. 2022

[22] Interview with Freddy Abou Adal. Oct. 23, 2017, Family Business Histories, Research Project, Tharawat Family Business Forum and New York University Abu Dhabi.

[23] “COVID-19 and Beyond: The Critical Role of the Private Sector.” Tharawat Family Business Forum, 31 Mar. 2020, https://tharawat.wpengine.com/covid-19-and-beyond-the-critical-role-of-the-private-sector/.17 Apr. 2022

To cite this article please use:

“HOLDAL Group” Family Business Histories Research Project, New York Unviersity Abu Dhabi and Tharawat Family Business Forum, 20 Mar. 2023, familybusinesshistories.org/spotlights/holdal