Al-Futtaim commits to King Abdullah Economic City
Al-Futtaim has signed an agreement with King Abdullah Economic City (KAEC) for the purchase of a 325,400 square metre plot of land in Saudi Arabia's Industrial Valley (IV) where it will develop a logistics and distribution facility.
"Our decision to invest in the Industrial Valley component of the KAEC development was made in consideration of the strategic location it occupies on the Red Sea coastline and adjacent to King Abdullah Port on one of the world's busiest shipping routes," said Omar Al Futtaim, vice-chairman of Al-Futtaim.
"From KAEC, we will be able to execute our expansion plans and meet the increasing demand for our portfolio of products," he added.
KAEC’s strategic location allows it to not only serve regional markets on the Red Sea, but also the world, with products being exported through the adjacent King Abdullah Port since it became operational in January 2014.
Some 110 national and international businesses have committed to facilities in KAEC, with 20 currently in operation and 30 under construction.
"King Abdullah Economic City has been extremely successful in attracting capital investment from more than 110 leading national and international companies because they know KAEC is the ideal place to invest in across the region," said Fahd Al-Rasheed, group CEO and managing director of KAEC.
"Al-Futtaim will add value to the logistics industry, one of the fastest growing clusters in the Industrial Valley,” said Rayan Qutub, CEO of Industrial Valley. “The IV has become the new manufacturing and logistics hub, thanks to its efficient, comprehensive logistics services supported by direct access to King Abdullah Port and the national rail and road network."