Prince Alwaleed reveals planned new investments in Saudi Arabia

Prince Alwaleed bin Talal’s detention sent shockwaves through boardrooms around the world. (Reuters)
Updated 21 March 2018
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Prince Alwaleed reveals planned new investments in Saudi Arabia

LONDON: Billionaire Saudi Prince Alwaleed bin Talal has revealed plans for a string of new investments in his first interview since being detained at the Ritz-Carlton in Riyadh.
Speaking exclusively to Bloomberg Television, he said that life was now “back to normal” as he gave an intriguing inside account of his detention as part of the Saudi government’s high profile anti-corruption drive.
The Kingdom Holding chief was one of the most high-profile figures to be detained at Riyadh’s Ritz-Carlton Hotel as part of a widespread anti-corruption drive.
In a television interview with Bloomberg, a fast-talking Alwaleed said: “I am for the anti-corruption that took place in Saudi Arabia. Now, unfortunately, I was added to that group. But fortunately, I’m out of it right now and life is back to normal.”
The prince, once dubbed the Warren Buffett of Saudi Arabia, was released from the Ritz-Carlton hotel in early January.
He was among about 350 suspects rounded up since Nov. 4, including some of the Kingdom’s most senior businessmen. As a major investor in several global corporations, his detention sent shockwaves through boardrooms around the world.
Now, after being released, he wants to reassure investors of continuity across his sprawling business empire. “I need to clear my name,” he said. “And to clear up a lot of lies.”
Specifically, Alwaleed rejected claims that he was tortured, detained in a prison and was forced to abandon work on the world’s tallest tower under construction in Jeddah, and instead transfer workers to the recently announced Neom mega-project instead.
To reinforce that point, he held up a letter that he said was from Saudi Binladin Group, the main contractor on the 1,000-meter tower.
He said: “It says the following: ‘Saudi Binladin Group would like to assure Jeddah Economic Company that it remains committed to the completion of the Jeddah project.”
Alwaleed said that no charges had been brought against him and described his detention as a “misunderstanding.”
Asked if it cost him anything to leave, he said: “I will not comment on the content of the agreement between me and the government.”
The prince also revealed how he spent his time at the now world-famous Ritz-Carlton Hotel in Riyadh.
“I really divide my time into a lot of sports, a lot of walking, a lot of meditation, a lot of watching news, a lot of praying.”
The vegan prince said that while he would usually have two meals a day, when he was at the hotel he would instead have six small meals.
But while the interview painted a fascinating picture of his time at the Ritz-Carlton, the precise details of his agreement with the Saudi government were not disclosed.
Still, Alwaleed did reveal that plans were under consideration to spin off some his company’s property holdings in Saudi Arabia into a separate entity which could be a real estate investment trust (REIT).
He said that his company had invested more than $3 billion in Saudi Arabia last year and that Kingdom Holding planned to raise between $1 billion and $2 billion of new debt.
Alwaleed also revealed plans to co-invest with Saudi Arabia’s Public Investment Fund.
“Yes, this will happen. We are in discussion right now with PIF, so we co-invest in certain projects, yes,” he said.
Alwaleed’s interview comes just days after another Ritz-Carlton detainee, Waleed Al-Ibrahim, also outlined new business plans following his release.
The MBC chairman described plans for a new joint venture with the government in an interview with The Wall Street Journal.


Potential SABIC deal would affect Saudi Aramco IPO time frame, says CEO Nasser

Updated 20 July 2018
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Potential SABIC deal would affect Saudi Aramco IPO time frame, says CEO Nasser

JEDDAH: A potential deal to buy a stake in petrochemical maker SABIC would affect the time frame of Saudi Aramco's initial public offering (IPO), the oil firm's president and CEO Amin H. Nasser said Friday. 

The IPO of around 5 percent of Aramco, which was initially to take place this year but is now more likely to happen later, would be the world's biggest listing, raising up to $100 billion.

Nasser said that buying a stake in a chemical company like SABIC would positively affect Aramco's revenue, Al Arabiya reported.

“We are still in the very early stages of the discussion to buy a stake in SABIC,” the Aramco CEO said.

“Aramco is ready for the initial offer and the timing remains subject to the state's decision.”

Saudi Aramco said on Thursday it is looking at the possibility of buying a stake in SABIC, a move that could boost the state oil giant’s market valuation ahead of the planned IPO.
Aramco said in a statement that it was in “very early-stage discussions” with the Kingdom’s Public Investment Fund (PIF) to acquire the stake in SABIC via a private transaction. It has no plans to acquire any publicly held shares, it said.
In a separate statement, PIF also said talks about a sale were in early stages. “There is a possibility that no agreement will be reached in relation to this potential transaction,” it said.