In a landmark move, Egypt’s logistics giant, Egytrans, and Saudi Arabia’s renowned investment firm, Links Investment, have joined hands to establish a Limited Liability Company (LLC) in the Kingdom of Saudi Arabia (KSA), Invest-Gate reports.

This groundbreaking agreement sees both entities owning an equal 50% equity stake in the newly formed company, which anticipates a total capital of SAR10 mn. The venture is slated for completion by the end of Quarter 1, 2024, commencing operations with an initial capital injection of 500,000 Saudi Riyals.

Moreover, strategically headquartered in Riyadh, the fledgling company aims to carve its niche in the transport and logistics industry, offering a comprehensive suite of services. Leveraging Egytrans’ specialized proficiency, especially in project logistics within the oil, gas, and renewable energy sectors, the collaboration aligns with KSA’s imminent large-scale renewable energy projects under Vision 2030, set for implementation in 2025.

Furthermore, the joint venture is a strategic response to meet the region’s escalating logistical demands and renewable energy initiatives. By amalgamating Links Investment’s diversified business portfolio, extensive assets, global partnerships, and substantial land holdings across KSA, the partnership seeks to expand operations and bolster logistical capabilities.

That said, the CEO of Egytrans Abir Leheta, emphasized the company’s global expansion strategy. “Our recent acquisition of NOSCO underscores our commitment to growth. Partnering with Links Investment to establish an innovative company specializing in wind farms and specialized transport solutions is a strategic leap,” Leheta highlighted.

This collaboration aims to tap into Saudi Arabia’s promising market potential. Analysts estimate projects valued at up to $240 bn in execution and $1.8 bn available for third-party logistics providers. KSA’s logistics sector shows exponential growth potential, driven by economic diversification, increased trade, substantial infrastructure projects, and government initiatives, positioning it as a regional logistics hub.

“We are enthusiastic about the Saudi market’s potential and anticipate a fruitful partnership with Egytrans,” expressed Mr. Mansour Al-Mobty, CEO of Links Investment. “This partnership is built on shared values, common goals, and a collective pursuit of success, positioning us for sustained expansion and advancement.”