Egytrans and Links Investment to Set Up Major New Saudi Logistics Company
Egytrans, a leading Egyptian logistics and transport provider renowned for its comprehensive integrated solutions, and Links Investment, a prominent Saudi-based investment firm have finalized an agreement to establish a limited liability company (LLC) in the Kingdom of Saudi Arabia (KSA).
Leveraging Egytrans’ expertise in project logistics, particularly in the oil, gas, and renewables sectors, the company intends to align with KSA's upcoming large-scale renewable energy projects scheduled for implementation in 2025 under Vision 2030.
Both entities will hold an equal 50% equity stake in the newly formed company, which is projected to have a total capital of US$2.6 billion. The establishment of this joint venture is set for completion by the end of Quarter 1, 2024.
Strategically headquartered in Riyadh, KSA, the new company will be poised to enter the transport and logistics industry, offering comprehensive services.
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This move aims to meet the growing logistics demands and renewable energy initiatives in the region.
The collaboration will draw upon Links Investment's significant business diversification, extensive asset base, international partnerships, and substantial land bank across KSA, enabling the expansion of operations and enhancement of logistical capabilities.
Abir Leheta, CEO of Egytrans remarked: "Egytrans has long pursued a strategic approach to expansion, aiming to seize growth prospects not only in Egypt but on a broader international scale.
"Our recent acquisition of NOSCO, a significant heavy transport player in Egypt, highlights our commitment. The collaboration with Links Investment, a dynamic Saudi Arabian enterprise, to establish a pioneering company focusing on wind farm and other specialized transport solutions is a strategic move.
"This collaboration, based on shared objectives, aims to capitalize on the burgeoning Saudi market."
Saudi Arabia stands as the largest potential market for logistics providers in the region, with analysts estimating up to $240 billion as the total value of projects under execution in the country, and $1.8 billion available for third-party logistics providers.
The country's logistics sector shows significant growth potential driven by economic diversification, increased trade activities, substantial infrastructure projects, and government initiatives positioning KSA as a regional logistics hub.
Mr. Mansour Al-Mobty, CEO of Links Investment said: "Our vision aligns with an era of transformative growth, aiming to leverage Links Investment's assets to establish cutting-edge logistics facilities, further enhancing our market capabilities.
"This partnership is built upon shared values, common goals, and a collective pursuit of success, positioning us for sustained expansion and progress."
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