Good morning, friends. Today, we lead with Saudi Arabia’s full-year budget results — expenditures overshot, revenues undershot, and the deficit landed at more than twice what was planned at SAR 277 bn. Elsewhere, DataVolt is three months from financial close on its USD 500 mn Riyadh data center, and we break down how PIF’s new strategy was received around the world.
BUT FIRST- Terrible news from the Gulf Coast: An Aramco helicopter crashed in Ras Tanura yesterday, killing all 14 Saudi passengers on board, the Energy Ministry said. It’s still not clear whether the crash was linked to escalating hostilities between the US and Iran, and investigations are ongoing to determine the cause.
The oil giant resumed crude shipments from its Ras Tanura terminal on Friday after a four-month halt. The eastern coast terminal previously exported 5 mn bbl / d of crude and is home to the Kingdom’s largest domestic refinery, a 550k bbl / d facility that was temporarily shut as a precaution. Aramco’s last cargo from Ras Tanura was loaded for China on 8 March.
“The place to be” for infrastructure investors
Alvarez & Marsal expects revenue from its Saudi infrastructure advisory business to grow tenfold over the next three years as the Kingdom enters a new phase of infrastructure delivery, with regional disruptions expected to boost investment in logistics infrastructure and alternative trade routes. The growth forms part of an expansion plan launched after the company incorporated its regional headquarters in Riyadh in 2024, Helder Santos, Middle East and Africa head of infrastructure and capital projects, tells EnterpriseAM.
Recent regional disruptions are expected to drive additional investment in logistics infrastructure, including ports, rail corridors, and alternative export routes, while Saudi’s broader infrastructure plans remain on track, Santos says. “We truly believe that the Middle East, and specifically Saudi Arabia from an infrastructure and capital projects perspective, is going to be the place to be.”
A&M is advising two foreign infrastructure funds evaluating investments in Saudi Arabia, underscoring continued international investor appetite for the Kingdom despite recent geopolitical tensions, Santos says, while declining to identify the investors or disclose the size of the funds or their planned investments.
Delayed, again
Saudi Arabia and Egypt delayed the commercial start of their USD 1.8 bn, 3 GW electricity interconnection to the end of this year, pushing it to the back of their 2H 2026 target window, Shorouk News reports, citing a senior official from the Egyptian Electricity Ministry. The delay lands as Egypt braces for record summer consumption.
REMEMBER- The interconnection project — one of the region’s largest — is already years behind its original 2018 tender. Trial operations for the first 1.5 GW phase were initially advanced to April 2025 before slipping to early 2026. In February, the Egyptian government said the link would go live “within the coming weeks” — a target that has since come and gone.
Jabal Omar jumps on foreign sales
Jabal Omar Development is capitalizing on the new foreign property ownership laws, announcing plans to put more than 400 hotel residential units up for sale this year. The developer is also moving forward with the seventh and final phase of its namesake megaproject in Makkah, according to a Tadawul disclosure.
REMEMBER- The move follows the cabinet’s approval of regulations allowing non-Saudis to own real estate in designated zones, including the Jabal Omar project in Makkah. Ownership in the two holy cities stays confined to Muslim buyers.
Strong appetite for MSGA float
Riyadh-based real estate developer Masqa Investment (MSGA) saw its Nomu float oversubscribed by around 144.6%, according to a disclosure to Tadawul. The offering — representing 10% of the firm’s issued capital — was priced at SAR 6 per share. It was previously reported that the offer aims to raise SAR 66.7 mn, implying a post-listing market capitalization of SAR 667 mn.
Advisors: Yaqeen Capital served as the financial advisor and lead manager.
Against the grain: The subscription period ran from 17 to 24 June at a time when many major local players were hesitating or shelving their own IPO plans due to market volatility and geopolitical tensions.
Football federation chief steps down
Saudi football federation president Yasser Al Misehal has resigned after the national team’s early exit from the World Cup, he said in a statement. After holding the position for seven years, Al Misehal stepped down before the end of his term, saying that he bore “full responsibility” for the team’s failure to qualify for the tournament’s next round.
Not the only leadership change? The federation is also reportedly preparing to replace head coach Georgios Donis with former Al Hilal and Al Nassr manager Jorge Jesus.
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PSA-
Highlands face stormy days: The National Center of Meteorology is forecasting thunderstorms across high-altitude areas in Jazan, Asir, and Al Baha in the coming days.
The big story abroad
The US and Iran have reportedly agreed (once again) to cease strikes, following a spate of attacks over the weekend, with the two sides planning to resume talks in Doha tomorrow to resolve their dispute over the Strait of Hormuz. Hostilities reportedly reignited over contradicting interpretations of the MoU signed by both sides earlier this month to secure an interim peace.
Meanwhile, sovereign funds may be getting bolder: One-third of sovereign funds surveyed by US investment management firm Invesco say they plan to double down on riskier, unlisted assets like private credit, private equity, and infrastructure this year — around one-fifth want to reduce exposure to stocks. The trend dovetails into the AI-led paradigm shift in investment, as lenders pivot from concentrated stock markets to wagering on data centers and associated energy sources.
But… is private credit on a stable path? Major private credit players like Blue Owl, KKR, and Elliot Investment Management are pumping USD bns into buy now, pay later (BNPL) models, providing a major windfall to platforms like PayPal. While the credit sector continues to swell on the back of BNPL, auto, and student loans, it has been seen by some as incentivizing a dangerous uptick in consumer debt — not unlike the levels seen before the 2008 mortgage crisis.
Is defense heading towards mass production? Because standard US munitions are both costly and slow to manufacture, some defense contractors are developing modular workshops to rapidly produce affordable missiles during wartime. Defense group Co-Aspire has designed missiles that can be built with off-the-shelf parts in a bid to capitalize on major order requests from big US spenders, the Pentagon and US Air Force.


