PIF acquires 25% of Emaar Economic City

PIF acquires 25% of Emaar Economic City
Emaar EC transferred part of its loan - worth SR2.8 billion - from the Ministry of Finance to the PIF in exchange for company shares. (Supplied)
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Updated 27 September 2021

PIF acquires 25% of Emaar Economic City

PIF acquires 25% of Emaar Economic City
  • Under the investment deal, the sovereign wealth fund becomes a major shareholder in the company with a 25 percent stake

DUBAI: The Public Investment Fund has completed the acquisition of Emaar’s The Economic City, it said in a statement. 

Under the investment deal, the sovereign wealth fund becomes a major shareholder in the company with a 25 percent stake. 

Emaar EC transferred part of its loan - worth SR2.8 billion - from the Ministry of Finance to the PIF in exchange for company shares. 

The deal will “provide an opportunity to leverage synergies between EEC and PIF’s ecosystem in the real estate, manufacturing, logistics, and tourism sectors,” the fund said in a statement. 

“Our investment in EEC aligns with our broader 2021-2025 strategy, which aims to build strategic economic partnerships through PIF and unlock the capabilities of promising sectors in the Kingdom, including transportation, logistics, real estate and tourism,” Aiman Al-Mudaifer, head of PIF’s local real estate division said.

It is also in line with PIF’s goal to invest in the non-oil sectors, as part of the Kingdom’s wider push to diversify its income sources. 

Three members of the Economic City's board of directors resigned following the deal, including the managing director Ahmed Boshnak, Falih Hajaj, and Bader Ali Riza.

Joining the board are PIF executive Assim Alsuhaibani, Majed Alsorou, and Qusai Al Fakhri, the Saudi Exchange reported.


Customer demand for quick delivery is huge challenge for retailers, warns CEOs

Customer demand for quick delivery is huge challenge for retailers, warns CEOs
Updated 14 sec ago

Customer demand for quick delivery is huge challenge for retailers, warns CEOs

Customer demand for quick delivery is huge challenge for retailers, warns CEOs

Customer demand for fast delivery of products is one of the biggest challenges facing companies today, according to retail group leaders.

Speaking at the Future Investment Initiative Forum in Riyadh, heads of major firms set out how pandemic-caused changes in shopping behavior, together with developments in technology, has shifted expectations from consumers.

Yusuf Ali, chairman of Abu Dhabi-based Lulu Group International, told delegates that e-commerce was not growing in the Gulf region before Covid-19 swept the globe, but now the picture is different and his company “will increase e-commerce platforms”. 

John Hadden, CEO of Alshaya Group, headquartered in Kuwait, highlighted food and beverage deliveries as an area changed by the pandemic.

“The new challenge is how to get the right products to the consumers as quickly as possible,” he said.

The head of online marketplace Noon.com warned that customers now expect small grocery deliveries within 20 minutes, adding: “Buyers’ desire to get orders quickly is increasing and this is the challenge for companies.”


Winning technical advice bidder for Saudi nuclear power program to be named soon: CNBC Arabia

Winning technical advice bidder for Saudi nuclear power program to be named soon: CNBC Arabia
Nuclear power plant Baden-Wuerttemberg, Germany. Getty Images
Updated 24 min 46 sec ago

Winning technical advice bidder for Saudi nuclear power program to be named soon: CNBC Arabia

Winning technical advice bidder for Saudi nuclear power program to be named soon: CNBC Arabia
  • EY may be the closest to winning the deal after offering the lowest price among advanced companies

RIYADH: Saudi Arabia is about to determine the winner of the presentation of the technical advice bid for its first nuclear power program, Banking sources told CNBC Arabia.

King Abdullah City for Atomic and Renewable Energy, the government agency responsible for implementing the Saudi nuclear program, has been studying the offers from four bidders, Deloitte, EY, HSBC, and PwC.

EY may be the closest to winning the deal after offering the lowest price among advanced companies, sources added.

Saudi Arabia intends to become a leader in renewable energy by building 16 nuclear reactors by 2030, estimated to cost more than $100 billion with a combined capacity of 22GW.


FII: MISA says investment in jobs and supply chains secure pandemic growth

FII: MISA says investment in jobs and supply chains secure pandemic growth
Getty Images
Updated 38 min 5 sec ago

FII: MISA says investment in jobs and supply chains secure pandemic growth

FII: MISA says investment in jobs and supply chains secure pandemic growth
  • Last month, the Kingdom forecast economic growth of 2.6% this year and 7.5% in 2022


RIYADH: Saudi Arabia’s Minister of Investment Khalid Al-Falih said the Kingdom put maintaining jobs and securing supply chains as one of its top priorities during the height of the pandemic, reported Argaam.

Speaking at the Future Investment Initiative in Riyadh he added that the Kingdom’s economy was able to remain flexible and grow as the health crisis eased.

The Minister said: “The pandemic came as a shock to the business enterprise sector; it taught us different lessons in various fields.”

Last month, the Kingdom forecast economic growth of 2.6% this year and 7.5% in 2022, in a pre-Budget statement, after a 4.1% contraction in 2020.


UPS Q3 earnings beat estimates as revenue grows 9%

UPS Q3 earnings beat estimates as revenue grows 9%
Getty Images
Updated 26 October 2021

UPS Q3 earnings beat estimates as revenue grows 9%

UPS Q3 earnings beat estimates as revenue grows 9%
  • The results exceeded Wall Street expectations

United Parcel Service Inc. on Tuesday reported third-quarter profit of $2.33 billion.


On a per-share basis, the Atlanta-based company said it had profit of $2.65. Earnings, adjusted for non-recurring costs, were $2.71 per share.


The results exceeded Wall Street expectations. The average estimate of eight analysts surveyed by Zacks Investment Research was for earnings of $2.52 per share.


The package delivery service posted revenue of $23.18 billion in the period, which also beat Street forecasts. Five analysts surveyed by Zacks expected $22.61 billion.


‘Let the unicorns come!’ PIF advisor says Saudi's economic ‘pie’ is growing

‘Let the unicorns come!’ PIF advisor says Saudi's economic ‘pie’ is growing
Updated 26 October 2021

‘Let the unicorns come!’ PIF advisor says Saudi's economic ‘pie’ is growing

‘Let the unicorns come!’ PIF advisor says Saudi's economic ‘pie’ is growing

Entrepreneurship is the new growth economy, according to a leading figure in Saudi Arabia’s Public Investment Fund (PIF) as he called for business “unicorns” to come to the country.

Andrew Liveris, special advisor to the governor of the PIF, made the remarks as he discussed how economies need to diversify to embrace the digital age.

Speaking at the Future Investment Initiative Forum in Riyadh, Liveris insisted the economic “pie will get bigger”, but workers will need to be retrained to carry out the new, less traditional, jobs of the future.

Referring to start-ups that go on to achieve market valuations of over a billion dollars, Liveris said: “Let the unicorns come.”

His comments chime with those made by billionaire businessman Larry Fink at the Middle East Green Initiative Summit on Monday.

The chairman of US asset management giant BlackRock told delegates at the forum in Riyadh it will be firms producing environmentally-friendly goods and systems that will become the next billion dollar companies.

Fink said: "It’s my belief that the next 1,000 unicorns - companies that have a market valuation over a billion dollars - won’t be a search engine or media company. They will be businesses developing green hydrogen, and green agriculture, and green steel and green cement."