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Red Sea Global Secures Financial Close on SAR 2 Billion Debt Financing with Riyad Bank

Published

11 Feb 2024

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Red Sea Global Secures Financial Close on SAR 2 Billion Debt Financing with Riyad Bank

Published

11 Feb 2024

Share

Debt Finance is tied to JV with Kingdom Holding Company for the development of Four Seasons Resort at The Red Sea.


Riyadh, 11th Feb 2024: Red Sea Global (RSG), the developer behind the regenerative tourism destinations The Red Sea and Amaala, has announced the successful completion of a SAR 2 billion ($522 million) financing agreement with Riyad Bank.

The financing supports RSG’s Joint Venture (JV) with Kingdom Holding Company (KHC), a prominent global investment company headquartered in Saudi Arabia, for the development of the highly anticipated Four Seasons Resort at The Red Sea destination. The initial JV was signed in October 2023.

 

"The Kingdom’s tourism potential is truly limitless and with our first two hotels now open, we are at the vanguard of putting Saudi Arabia on the global tourism map. This deal signifies the confidence of the private sector in the country, its people and in Red Sea Global. Riyad Bank has been with us since our first debt financing deal in 2021 and we’re honored to have them partner with us once again,”
said John Pagano, Group CEO at Red Sea Global.

 

 


The Four Seasons Resort at The Red Sea destination, situated on Shura Island, is set to be an unparalleled luxury property offering 159 exquisite guest rooms. Shura Island is part of the first phase of development, which will include 11 luxury, premium, and lifestyle hotels and resorts, residential units, a championship golf course, a 118-berth marina, and a comprehensive retail, dining, and entertainment complex.

Nadir Sami Al -Koraya, CEO atof Riyad Bank, said: "Red Sea Global has an incredible responsibility to be an enabler of the Kingdom’s Vision 2030, and added to this, it set its own incomparable ambitions to deliver development in a way that is responsible and regenerative.. We believed in the vision its leadership presented back then at our first encounter and last year, when The Red Sea welcomed its first guests, our faith was shown to be well-founded. We’re privileged to once again have the opportunity to support one of the world’s most ambitious developers.”

In 2023, The Red Sea welcomed its first guests and now two of its hotels are open. The Red Sea International Airport (RSI) has been receiving a regular schedule of flights since September 2023. Desert Rock and Shebara will welcome first guests later this year, while Shura Island is on track to welcome guests in 2025.

Upon full completion in 2030, the destination will comprise 50 resorts, offering up to 8,000 hotel rooms and more than 1,000 residential properties across 22 islands and six inland sites. The destination will also include luxury marinas, golf courses, entertainment, F&B, and leisure facilities.

About Red Sea Global

Red Sea Global (RSG - www.redseaglobal.com) is a closed joint-stock company wholly owned by the Public Investment Fund (PIF) of Saudi Arabia. It is a vertically integrated real estate developer with a diverse portfolio across tourism, residential, experiences, infrastructure, transport, healthcare, and services. This includes the luxury regenerative tourism destinations The Red Sea, which began welcoming guests in 2023, and AMAALA, which remains on track to welcome first guests in 2025. A third destination, Thuwal Private Retreat, will open this year, and RSG has also been entrusted with refurbishment works at Al Wajh Airport, focused on upgrading the existing terminal and infrastructure, and building a new international terminal. RSG is a cornerstone of Saudi Arabia’s ambition to diversify its economy. Across its growing portfolio of destinations, subsidiaries, and businesses, RSG seeks to lead the world towards a more sustainable future, showing how responsible development can uplift communities, drive economies, and enhance the environment.

RSG is the visionary company behind some of the world’s most ambitious development ventures, including luxury regenerative tourism destinations such as The Red Sea and AMAALA.

Across its portfolio, RSG leverages the most innovative concepts, strategies, and technologies to deliver projects that actively enhance the wellbeing of customers, communities, and environments.

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