{"id":87994,"date":"2024-07-21T00:00:00","date_gmt":"2024-07-21T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/ksa\/2024\/07\/21\/saudia-places-big-flying-taxi-order-for-private-aviation-arm\/"},"modified":"2024-07-21T00:00:00","modified_gmt":"2024-07-21T00:00:00","slug":"saudia-places-big-flying-taxi-order-for-private-aviation-arm","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/ksa\/2024\/07\/21\/saudia-places-big-flying-taxi-order-for-private-aviation-arm\/","title":{"rendered":"Saudia places big flying taxi order for private aviation arm"},"content":{"rendered":"

AVIATION-<\/p>\n

#1- Saudia <\/strong>makes largest<\/strong> flying taxis order in the region: <\/strong>National carrier Saudia Group formalized an agreement with Germany-based air taxi developer Lilium to purchase up to 100 flying air taxis, according to statements by Saudia and Lilium (here<\/a> and here<\/a>). It signed a binding sales agreement for 50 aircraft with options for an additional 50. It\u2019s the largest reported firm order yet by an airline that plans to add the aircraft to its fleet, according to the statement. The framework agreement was signed<\/a> in October 2022. No financial details were disclosed but Lilium Co-Founder Daniel Wiegand told Reuters<\/a> that the value of the whole order was estimated at USD 700 mn.<\/p>\n

(** Tap or click the headline above to read this story with all of the links<\/strong> to our background and outside sources.) <\/p>\n

Putting the flying air taxis to good use: <\/strong>The eVTOL jets will mainly be used to transport Hajj and Umrah pilgrims and travelers to sports and entertainment events in Riyadh, according to the statement. They will also be used to \u201cexplore hard-to-reach\u201d tourist destinations across the Kingdom among others.<\/p>\n

What\u2019s next: <\/strong>Saudia said it expects to receive the first jets in 2026 with the air shuttle\u2019s operations managed and run by its subsidiary Saudia Private, according to the statement. Its chief marketing officer Khaled Tash told Reuters that the first 50 planes are set to be delivered by 2029.<\/p>\n

\n

\n

#2- Indian budget carrier Akasa Air will begin operating 12 direct flights weekly <\/strong>connecting <\/strong>Jeddah with Mumbai starting today<\/strong>, according to a statement<\/a>. It marked its inaugural flight to Jeddah from Mumbai last week and launched two weekly direct flights connecting Jeddah with Ahmedabad yesterday. Saudi is Akasa Air\u2019s second international destination after Doha earlier this year<\/a>.<\/p>\n

\n

M&A WATCH-<\/p>\n

Jadwa Investment<\/a><\/strong> has taken home a 60% stake in homegrown restaurant chain <\/strong>Tikkaway<\/a><\/strong>, marking its first acquisition in the food and beverage sector here, according to a statement<\/a>. The transaction was executed by the Riyadh-based investment firm\u2019s Jadwa Food and Beverage Opportunities Fund, the statement read, without disclosing details about its value. <\/p>\n

By the numbers: <\/strong>Tikkaway currently has 20 branches in Riyadh, Jeddah, Dammam and others with plans to double its branches to 40 across the Kingdom in the upcoming two years.<\/p>\n

Been there, done that: <\/strong>This is Jadwa Investment\u2019s second acquisition in the food and beverage sector after it acquired late last year<\/a> Dubai-based food and beverage operator Blackspoon Group, owner of the Allo Beirut, an \u201call day Lebanese diner\u201d chain of restaurants, among others. Blackspoon has 10 branches and three brands, including its flagship Lebanese restaurant.<\/p>\n

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REAL ESTATE-<\/p>\n

#1- Another Trump Tower in the Gulf: <\/strong>Dar Global, the international arm of Dar Al Arkan, signed an agreement with the Trump Organization to build a Trump Tower in Dubai, according to a statement<\/a>. The tower\u2019s design and location will be unveiled later this year, the statement read. It will now be owned or sold by the Trump Organization, but the name and mark will be used by Dar Al Arkan under license.<\/p>\n

Background- <\/strong>This is the Trump Organization\u2019s third venture in the region with Dar after the two companies signed an agreement<\/a> to build a Trump Tower in Jeddah earlier this month and unveiled a USD 500 mn<\/a> Trump International hotel project in Oman last month.<\/p>\n

\n

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#2- More real estate projects with China:<\/strong> The National Housing Company signed an agreement with Chinese state-owned construction company China State Construction Engineering Corp (Cscec) to build 20k housing units across the Kingdom, it said in a post on X<\/a>. No further details were provided. <\/p>\n

Not Cscec\u2019s most recent venture here:<\/strong> Earlier this month, a consortium comprising local contractor El Seif Engineering Contracting and Cscec were awarded<\/a> a SAR 7.8 bn contract to develop a mixed-use district in the north of Diriyah. Construction work is set to begin starting Q3 this year.<\/p>\n

\n

WASTEWATER MANAGEMENT- <\/p>\n

Marafiq joins Miahona, Besix to build water treatment project in Riyadh: <\/strong>Tadawul-listed Power and Utility Company for Jubail and Yanbu (Marafiq) is joining a consortium that includes Miahona and Besix to bulid a SAR 1.5 bn independent sewage treatment plant in Al Haer in Riyadh, according to two separate disclosures to Tadawul (here<\/a> and here<\/a>). Marafiq will take a 35% stake in the project, while Miahona is set to retain a 45% holding. <\/p>\n

Marafiq\u2019s shareholders include the PIF<\/strong>, the Royal Commission for Jubail and Yanbu, Sabic, and Saudi Aramco Power Company.<\/p>\n

What\u2019s next: <\/strong>The project is expected to hit financial close in Q3 2024 with operations expected to start in Q1 2027, according to Marafiq.<\/p>\n

TRANSPORT-<\/p>\n

The Saudi Public Transport Company (Saptco) has been awarded a SAR 93 mn contract <\/strong>to operate the public transport network in Al Ahsa<\/strong>, it said in a disclosure to Tadawul<\/a>. Saptco will operate the network connecting the cities of Al Mubarraz, Al Hofuf, Al Jafr and Al Amran in the governorate for five years.<\/p>\n

\n

E-PAYMENTS- <\/p>\n

A partnership with <\/strong>Saudi Awwal Bank will see China-based UnionPay to grow its <\/strong>footprint here in Saudi.<\/strong> The agreement will expand coverage of payments via UPI cards across stores, ATMs and online shopping websites. State-owned UnionPay is China\u2019s largest provider of bank card services. <\/p>\n

REGIONAL HQ- <\/p>\n

British engineering and development consultancy <\/strong>Mott Macdonald<\/a><\/strong> has obtained a <\/strong>regional headquarters license from <\/strong>the Investment Ministry<\/strong>, according to a statement<\/a>. It secured the license after opening its new office in Riyadh in September, allowing it to \u201cexpand its business by continuing to engage directly with government entities\u201d in Saudi. It is among the first 40 British firms who have obtained such licenses from the ministry, according to the statement.<\/p>\n

BACKGROUND-<\/strong> Earlier this year, the government rolled out tax incentives<\/a> for foreign companies that relocate their regional headquarters to the Kingdom \u2014 and state institutions are<\/a>helping with the push<\/a>. The incentives are part of a plan that is a cornerstone of Crown Prince and Prime Minister Mohammed bin Salman\u2019s drive to build a diversified, globally significant non-oil economy, and has been in the works since February 2021. Companies that don\u2019t declare Saudi their regional HQ run the risk of losing out on government contracts.<\/p>\n

\n

SPACE-<\/p>\n

PIF-owned Neo Space Group (NSG) has obtained a permit to offer Earth observation <\/strong>platform services in the Kingdom<\/strong>, according to a statement<\/a> from the Communications, Space and Technology Commission. The permit awarded to NSG will allow it to establish and operate an electronic platform which it will use to collect and process earth observation data, including monitoring natural terrain, environmental pollution and weather. <\/p>\n

About the company:<\/strong> The new commercial satellite and space company was launched in May<\/a> with a focus on investments in localization, technology, start-ups, and knowledge in the space and satellite sector in the Kingdom.<\/p>\n","protected":false},"excerpt":{"rendered":"

Plus: Jadwa takes stake in Tikkawy and Dar Global will build a Trump Tower in Dubai<\/p>\n","protected":false},"author":1,"featured_media":87995,"comment_status":"","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"newspack_ads_suppress_ads":false,"newspack_popups_has_disabled_popups":false,"newspack_sponsor_sponsorship_scope":"","newspack_sponsor_native_byline_display":"inherit","newspack_sponsor_native_category_display":"inherit","newspack_sponsor_underwriter_style":"inherit","newspack_sponsor_underwriter_placement":"inherit","ep_exclude_from_search":false,"_primary_brand":0,"newspack_featured_image_position":"","newspack_post_subtitle":"","newspack_article_summary_title":"Overview:","newspack_article_summary":"","newspack_hide_updated_date":false,"newspack_show_updated_date":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[2564],"tags":[1998,54,2897,2502,2898,1669,2248,10,2895,1134,2894,861,1571,2899,351,2873,377,2896,2766,2900,2277,2866],"brand":[],"newspack_spnsrs_tax":[],"class_list":["post-87994","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-also-on-our-radar","tag-akasa-air","tag-also-on-our-radar","tag-arabian-international-healthcare-holding-tibbiyah","tag-besix","tag-china-state-construction-engineering-corp-cscec","tag-dar-al-arkan","tag-dar-global","tag-enterpriseam-ksa","tag-evtol","tag-jadwa-investment","tag-lilium","tag-marafiq","tag-miahona","tag-mott-macdonald","tag-national-housing-company","tag-neo-space-group","tag-nupco","tag-saudi-public-transport-saptco","tag-saudia","tag-tikkaway","tag-trump-organization","tag-trump-tower","wpautop","entry"],"acf":{"mongo_id":"0392c414-1646-44f0-a0de-239cb2fe596b","order":"12","is_powered_by":false,"story_type":"1","photo_url":"https:\/\/ent.news\/2024\/7\/1533.jpg","photo_position":"above","homepage_title":"","full_issue_title":"Saudia places big flying taxi order for private aviation arm","related_issue":[87972],"teaser":"Plus: Jadwa takes stake in Tikkawy and Dar Global will build a Trump Tower in Dubai","voice_url":"https:\/\/s3.us-east-1.amazonaws.com\/ent.news\/audio\/2024\/7\/.6fffb5b2-3ed1-4da1-8a92-9e5315b335d1.mp3"},"yoast_head":"\nSaudia places big flying taxi order for private aviation arm - 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