Arab News, Wednesday, Jan 12, 2022 | Jamada Al-Aakhirah 9, 1443
Saudi Arabia to establish first private equity fund for $26m dedicated to tourism investing
Saudi Arabia:
Saudi Arabia's Tourism Development Fund, signed an
agreement with investment solutions firm Derayah Financial to establish a SR100
million ($26 million) private close-ended equity fund.
It will be the first fund in the Kingdom to
participate in the capital of small to medium-sized companies operating in the
tourism sector, the Saudi Press Agency reported. The equity fund will target
promising business opportunities in selective tourism areas across the Kingdom.
Derayah Financial will manage the new fund as it
possesses wide expertise in assets and funds management in both the Kingdom and
Gulf markets, according to a statement by Qusai Al-Fakhri, CEO of the TDF.
Aligning with the Kingdom’s economic growth, the
fund is part of TDF’s efforts to promote tourism investment, Al-Fakhri added.
It is expected that the fund will increase
investment diversity within the tourism sector through introducing new products
and services and enhancing tourists’ experience in the Kingdom.