Wednesday, December 27, 2023
The Public Investment Fund (PIF) has announced its commitment to invest in Saudia Technic, a subsidiary of the Saudia Group. Previously recognized as Saudia Aerospace Engineering Industries, Saudia Technic boasts a storied legacy in Saudi Arabia, dating back to the 1960s. Its wide-ranging services encompass crucial aviation maintenance, repair, and overhaul (MRO) segments such as line, base, components, and engines.
In collaboration with Saudia Group, PIF aims to elevate Saudia Technic into a premier national MRO entity. This endeavor involves substantial investments in infrastructure, operational enhancements, and capitalizing on Saudi Arabia’s burgeoning aviation market growth for the upcoming decade. Saudia Technic aspires to position itself as the preferred MRO choice for both domestic airlines and global partners seeking entry into the Saudi market.
The investment venture will spearhead the development of an expansive MRO village sprawling across approximately 1 million square meters in Jeddah. This ambitious project will include a cutting-edge jet propulsion center, propelling Saudia Technic to the forefront of the MRO landscape in the Middle East. The MRO village’s expansion will substantially augment hangar capacity and the number of component shops, strategically positioning Saudia Technic to meet the future surge in demand across line, base, engine, and component segments in Saudi Arabia. Moreover, the construction and activation of an engine test cell within the MRO village will cater to advanced wide-body and narrow-body aircraft engines, solidifying Saudi Arabia’s MRO aspirations through 2030.
Raid Ismail, Co-Head of MENA Direct Investments at PIF, said: “PIF continues to invest in one of the world’s most dynamic and rapidly expanding sectors in an increasingly interconnected global economy. The investment in Saudia Technic is a significant milestone as we unlock capabilities, localize expertise and create a first-class, world-leading aviation sector in Saudi.”
Captain Fahd Cynndy, CEO of Saudia Technic, added: “This strategic investment by PIF underscores our commitment to becoming a leader in the aviation industry. We are excited to work alongside PIF in shaping the future of aviation in Saudi Arabia and the region. Together, we aim to enhance our capabilities, drive innovation, and become the MRO of choice for airlines and partners worldwide.”
Saudi Arabia is steadfastly consolidating its stature as a global aviation hub, fostering new industry ecosystems and forging partnerships. PIF’s significant investments in the sector encompass plans for the King Salman International Airport in Riyadh, targeting a capacity to accommodate 120 million travelers by 2030. Notable initiatives also include The Helicopter Company, dedicated to enhancing local connectivity and meeting the burgeoning demand in Saudi Arabia, as well as AviLease, an aircraft leasing company aimed at supporting the expansion of the country’s flourishing aviation ecosystem.
Saturday, April 27, 2024
