Latest news with #Alhokair
Gulf Business
20 hours ago
- Business
- Gulf Business
Al-Futtaim to acquire 49.95% stake in Saudi's Cenomi Retail in SAR2.5bn deal
Image: Cenomi Retail Cenomi Retail, one of Saudi Arabia's largest retail brand partners, said on Monday that its founding shareholders have signed a share purchase agreement with UAE-based The transaction will see Al-Futtaim purchase shares priced at SAR44 each from selling shareholders Fawaz Abdulaziz Alhokair, Abdul Majeed Abdulaziz Alhokair, Salman Abdulaziz Alhokair, Saudi FAS Holding Company, and FAS Real Estate Company. As part of the agreement, Cenomi Retail and Al-Futtaim are negotiating a shareholder loan agreement under which Al-Futtaim will provide no less than SAR1.3bn in funding upon transaction completion. The loan aims to bolster Cenomi Retail's balance sheet and support its next phase of growth. Entry into the loan agreement is a condition for the completion of the private transaction. 'This transaction marks a transformative milestone for Cenomi Retail and our shareholders,' said Fawaz Abdulaziz Alhokair, one of the selling shareholders. 'By deleveraging our balance sheet and establishing a stronger financial foundation, we are reinforcing long-term partnerships and positioning the company for sustainable growth.' Al-Futtaim's investment represents one of the most significant UAE private sector transactions in the kingdom to date and is aligned with Saudi Arabia's Vision 2030, which aims to diversify the economy and attract foreign capital. Investment in Cenomi Retail shows confidence in Saudi's economy, says Al-Futtaim CEO Al-Futtaim, which operates across automotive, financial services, real estate, retail, and healthcare in the Middle East, Asia, and Africa, brings significant operational scale and retail expertise. Its retail portfolio includes exclusive operations of Inditex brands such as Zara, Massimo Dutti, and Bershka across Asia and the Middle East, including Saudi Arabia, the UAE, Egypt, Malaysia, Thailand, and Singapore. The partnership is expected to enhance Cenomi Retail's operational capabilities, expand its brand portfolio, and support digital transformation initiatives. 'This announcement demonstrates that Cenomi Retail is firmly on the right strategic path,' said Salim Fakhouri, CEO of Cenomi Retail. 'Having Al-Futtaim as a strategic investor enables us to capitalize on their proven capabilities and further solidify our leadership in the retail sector,' he added. The transaction remains subject to customary regulatory approvals, including clearance from Saudi Arabia's General Authority for Competition, and other contractual closing conditions. Lazard acted as the exclusive financial advisor to Cenomi Retail, while J.P. Morgan served as exclusive advisor to Al-Futtaim.
Arabian Business
2 days ago
- Business
- Arabian Business
Al-Futtaim to acquire 49.95% stake in KSA's Cenomi Retail
Al-Futtaim, one of the region's most prominent and diversified private business groups with interests ranging from automobiles, real estate, healthcare, and retail, has signed a share purchase agreement (SPA) with Cenomi Retail, Saudi Arabia's leading retail brand partner. In a private transaction, Al-Futtaim will acquire a 49.95 per cent stake in Cenomi Retail from members of Alhokair family, Saudi FAS Holding Company, and FAS Real Estate Company. The shares are priced at SAR 44 (US$11.73) each, valuing the transaction at more than SAR 2.5 billion (US$670 million). The transaction is subject to mandatory regulatory approvals, including clearance from the General Authority for Competition in Saudi Arabia, and other closing conditions. Al-Futtaim expands presence in Saudi Arabia Al-Futtaim and Cenomi are currently negotiating a shareholder loan agreement, after which Al-Futtaim will extend a shareholder loan of an amount not less than SAR 1.3 billion (US$350 million) to help strengthen the Saudi company's balance sheet and support its next phase of growth. The introduction of Al-Futtaim as a long-term strategic shareholder marks a milestone for Cenomi Retail, signaling strong confidence in the company's growth trajectory and market leadership in Saudi Arabia's dynamic retail sector. Al-Futtaim brings significant capital, as well as retail expertise, operational capabilities, and a strong track record of building successful consumer platforms across the region. Omar Al Futtaim, Vice Chairman and CEO of Al-Futtaim, commented: 'Our investment in Cenomi Retail reflects our strong confidence in the Kingdom of Saudi Arabia's economy and its long-term Saudi Vision 2030. This investment represents substantial foreign direct investment from the UAE private sector and underscores the robust economic partnership between our countries. 'It strengthens our presence and customer reach in Saudi Arabia, a strategic market with solid fundamentals and a clear national vision. We see significant opportunities to support Cenomi Retail in enhancing operations, accelerating digital transformation, and expanding its brand portfolio. This partnership also paves the way for further collaborations in the dynamic Saudi market.' With presence across the Middle East, Asia, and Africa, Al-Futtaim brings a proven track record in retail, including exclusive operations of leading Inditex brands like Zara, Massimo Dutti, and Bershka across key markets such as Malaysia, Thailand, and Singapore, as well as other retail operations across the Kingdom of Saudi Arabia, the United Arab Emirates and Egypt. In a statement, the company said it 'believes this strategic collaboration will accelerate its ability to seize new opportunities and deliver long-term value to its shareholders'. Fawaz Abdulaziz Alhokair, one of the selling shareholders of Cenomi Retail, added: 'This transaction marks a transformative milestone for Cenomi Retail. By deleveraging our balance sheet and establishing a stronger financial foundation, we are reinforcing long-term partnerships with stakeholders and positioning the company to deliver sustainable growth and enhanced shareholder value. 'The entry of Al-Futtaim as a strategic investor in the company will provide it with the investor's deep sector expertise, operational scale, and a shared long-term vision. Al-Futtaim's global retail footprint, financial strength, and presence in the Kingdom make them an ideal strategic investor. 'This strategic investment unlocks significant value for all stakeholders and aligns with Saudi Arabia's Vision 2030 to diversify the economy and attract foreign investment.' Upon completion of the transaction, Al-Futtaim will work closely with Cenomi Retail's management and board to drive operational efficiencies and enhance customer offerings.
Zawya
3 days ago
- Business
- Zawya
Cenomi Retail announces the signing of a share purchase agreement between its founding shareholders and Al-Futtaim
Al-Futtaim enters into a Share Purchase Agreement (SPA) to acquire 49.95% of Cenomi Retail from its founding shareholders namely, Fawaz Abdulaziz Alhokair, Abdul Majeed Abdulaziz Alhokair, Salman Abdulaziz Alhokair, Saudi FAS Holding Company, and FAS Real Estate Company. Shares are priced at SAR 44 each, valuing the transaction at more than SAR 2.5 billion. Al-Futtaim and Cenomi Retail are currently negotiating, as part of the SPA completion conditions, entering into a shareholder loan agreement for the provision of an amount not less than SAR 1.3 billion shareholder loan upon completion of the transaction, to strengthen Cenomi Retail's balance sheet and fuel its growth ambitions. Al-Futtaim, as a strategic investor, and a prominent private business group, brings strategic alignment, operational strength, and long-term confidence in Cenomi Retail's growth strategy. This milestone of a foreign direct investment aims to reinforce Saudi Arabia's position as a premier destination for global capital, while advancing Vision 2030 goals through private sector empowerment, scalable retail expansion, and digital transformation. Dubai, United Arab Emirates: Cenomi Retail, Saudi Arabia's leading retail brand partner, today announced that its founding shareholders have signed a share purchase agreement (SPA) with Al-Futtaim, one of the region's most prominent and diversified private business groups. Pursuant to the SPA, Al-Futtaim will acquire a 49.95% stake in Cenomi Retail from the selling shareholders, namely, Fawaz Abdulaziz Alhokair, Abdul Majeed Abdulaziz Alhokair, Salman Abdulaziz Alhokair, Saudi FAS Holding Company, and FAS Real Estate Company. The shares are priced at SAR 44 each, valuing the transaction at more than SAR 2.5 billion. As part of the completion conditions of the agreement, Al-Futtaim and Cenomi Retail are currently negotiating a shareholder loan agreement pursuant to which Al-Futtaim will extend a shareholder loan of an amount not less than SAR 1.3 billion, upon completion of the transaction, to help strengthen Cenomi Retail's balance sheet and support its next phase of growth, the entry of which is a completion condition for the private transaction between the selling shareholders and Al-Futtaim. This landmark deal represents a major milestone for Cenomi Retail, introducing Al-Futtaim as a long-term strategic shareholder and signaling strong confidence in the company's growth trajectory and market leadership in Saudi Arabia's dynamic retail sector. This strategic investment by Al-Futtaim in Cenomi Retail is a key step in the company's transformation journey. Al-Futtaim brings not only significant capital but also deep retail expertise, operational capabilities, and a strong track record of building successful consumer platforms across the region. The company believes this strategic collaboration will accelerate its ability to seize new opportunities and deliver long-term value to its shareholders. Al-Futtaim is one of the region's most established private business groups, with operations spanning automotive, financial services, real estate, retail, and healthcare across the Middle East, Asia, and Africa. The group brings a proven track record in retail, including exclusive operations of leading Inditex brands like Zara, Massimo Dutti, and Bershka across key markets such as Malaysia, Thailand, and Singapore, as well as other retail operations across the Kingdom of Saudi Arabia, the United Arab Emirates and Egypt. Their global expertise and operational excellence will further enhance Cenomi Retail's platform and future growth trajectory. Fawaz Abdulaziz Alhokair, in his capacity as one of the selling shareholders of Cenomi Retail in the private transaction: 'This transaction marks a transformative milestone for Cenomi Retail and our shareholders. By deleveraging our balance sheet and establishing a stronger financial foundation, we are reinforcing long-term partnerships with stakeholders and positioning the company to deliver sustainable growth and enhanced shareholder value. The entry of Al-Futtaim as a strategic investor in the company will provide it with the investor's deep sector expertise, operational scale, and a shared long-term vision. Al-Futtaim's global retail footprint, financial strength, and presence in the Kingdom make them an ideal strategic investor. This strategic investment unlocks significant value for all stakeholders and aligns with Saudi Arabia's Vision 2030 to diversify the economy and attract foreign investment.' Omar Al Futtaim, Vice Chairman and CEO of Al-Futtaim: 'Our investment in Cenomi Retail reflects our strong confidence in the Kingdom of Saudi Arabia's economy and its long-term Saudi Vision 2030. This investment represents substantial foreign direct investment from the UAE private sector and underscores the robust economic partnership between our countries. It strengthens our presence and customer reach in Saudi Arabia, a strategic market with solid fundamentals and a clear national vision. We see significant opportunities to support Cenomi Retail in enhancing operations, accelerating digital transformation, and expanding its brand portfolio. This partnership also paves the way for further collaborations in the dynamic Saudi market.' Salim Fakhouri, Chief Executive Officer at Cenomi Retail: 'Today's announcement demonstrates that Cenomi Retail is firmly on the right strategic path towards our next phase of growth, focused on scalable, high-performing global brands that drive long-term value to our shareholders. Having Al-Futtaim as a strategic investor enables us to capitalize on their proven capabilities and further solidify our leadership in the retail sector and position us for sustainable growth and compelling shareholder returns.' Upon completion of the transaction, Al-Futtaim will work closely with Cenomi Retail's management and board to drive operational efficiencies, enhance customer offerings, and unlock significant value for all shareholders. The transaction is subject to customary regulatory approvals, including clearance from the General Authority for Competition in Saudi Arabia, and other contractual conditions. Further updates will be provided as the transaction progresses. Cenomi Retail was supported by its exclusive financial advisor, Lazard, throughout this transaction execution. J.P. Morgan was appointed by Al-Futtaim as its exclusive financial advisor with respect to the transaction. Read more here: About Al-Futtaim Established in the 1930s as a trading business, Al-Futtaim today is one of the most diversified and progressive, privately held regional businesses headquartered in Dubai, United Arab across 18 countries in the Middle East, North Africa and Asia, the Group spans key sectors including automotive, financial services, real estate, retail, and health. Al-Futtaim's work is driven by a clear purpose: to enrich lives and elevate communities through practical, forward-looking a workforce of nearly 33,000 people, Al-Futtaim represents a portfolio of over 200 of the world's most recognised and trusted brands, including Toyota, Lexus, IKEA, ACE, Marks & Spencer, and many a strong focus on digital innovation and artificial intelligence, sustainable growth, strategic partnerships, and empowering its people, Al-Futtaim's approach is anchored in long-term value creation. Its integrated business model positions the Group as a reliable partner to stakeholders—supporting customers, communities, and collaborators alike in navigating the needs of today while planning for tomorrow. Underpinned by the values of respect, excellence, collaboration, and integrity, Al-Futtaim continues to build a legacy that reflects its responsibility to people, progress, and the planet. For more information, visit: About Cenomi Retail: Cenomi Retail, formed as Fawaz A. Alhokair & Co in 1990 by Fawaz, Abdulmajeed and Salman Alhokair. The company has since become the leading franchise retailer in KSA and the only listed business of its type in the Middle East. Since the opening of its first store in 1991, Cenomi Retail has grown considerably and now trades in 808 stores across 165 shopping malls in 8 countries, with a retail platform covering a total GLA of about 332 thousand square meters. All of this is managed by a workforce numbering more than 7,000. Cenomi Retail currently represents 47 brands, spanning womenswear, kids and baby, department stores, shoes and accessories, cosmetics in addition to operating a series of restaurants and coffee shops. For more information, please visit For media enquiries, contact: Disclaimer This communication contains certain forward-looking statements. A forward-looking statement is any statement that does not relate to historical facts and events, and can be identified by the use of such words and phrases as 'according to estimates', 'anticipates', 'assumes', 'believes', 'could', 'estimates', 'expects', 'intends', 'is of the opinion', 'may', 'plans', 'potential', 'predicts', 'projects', 'should', 'to the knowledge of', 'will', 'would' or, in each case their negatives or other similar expressions, which are intended to identify a statement as forward-looking. This applies, in particular, to statements containing information on future financial results, plans, or expectations regarding our business and management, our future growth or profitability and general economic and regulatory conditions and other matters affecting us. Forward-looking statements reflect our management's ('Management') current views of future events, are based on Management's assumptions, and involve known and unknown risks, uncertainties and other factors that may cause our actual results, performance, or achievements to be materially different from any future results, performance or achievements expressed or implied by these forward-looking statements. The occurrence or non-occurrence of an assumption could cause our actual financial condition and results of operations to differ materially from, or fail to meet expectations expressed or implied by, such forward-looking statements. Our business is subject to a number of risks and uncertainties that could also cause a forward-looking statement, estimate or prediction to become inaccurate. These risks include fluctuations prices, costs, ability to retain the services of certain key employees, ability to compete successfully, changes in political, social, legal or economic conditions in Saudi Arabia, worldwide economic trends, the impact of war and terrorist activity, inflation, interest rate and exchange rate fluctuations and Management's ability to timely and accurately identify future risks to our business and manage the risks mentioned above.
The National
3 days ago
- Business
- The National
Dubai's Al-Futtaim to buy major stake in Saudi retail group Cenomi
Dubai-based Al-Futtaim is buying a 49.95 per cent stake in Saudi Arabia's retail group Cenomi for 2.5 billion Saudi riyals ($666 million) as the company aims to expand in the Arab world's largest economy. Al-Futtaim has entered into a share purchase agreement with Cenomi's founding shareholders Fawaz Abdulaziz Alhokair, Abdul Majeed Abdulaziz Alhokair, Salman Abdulaziz Alhokair, Saudi FAS Holding Company and FAS Real Estate Company as part of the transaction. The deal involves Al-Futtaim buying 57,325,841 shares at a price of 44 riyals per share in Cenomi Retail, the company said in a statement on Sunday to the Saudi stock exchange, Tadawul, where its shares are traded. Al-Futtaim and Cenomi Retail are also currently negotiating a shareholder loan agreement pursuant to which Al-Futtaim will extend a shareholder loan of an amount not less than 1.3 billion riyals, upon completion of the transaction, to help strengthen Cenomi Retail's balance sheet and support its growth. The transaction, however, is subject to customary regulatory approvals, including clearance from the General Authority for Competition in Saudi Arabia, and other contractual conditions. 'This investment represents substantial foreign direct investment from the UAE private sector and underscores the robust economic partnership between our countries,' Omar Al Futtaim, vice chairman and chief executive of Al-Futtaim, said. 'We see significant opportunities to support Cenomi Retail in enhancing operations, accelerating digital transformation, and expanding its brand portfolio. This partnership also paves the way for further collaborations in the dynamic Saudi market.' Saudi Arabia aims to attract more foreign direct investment as it focuses to diversify its economy away from oil as part of its Vision 2030 programme. It is building mega projects such as Neom, Qiddiya entertainment city, outside Riyadh and the Diriyah Gate in a push to support its real estate sector. In recent years, the kingdom has also introduced laws, including companies law and civil transactions law, to attract more foreign investment. This month, it updated its rules to allow foreigners to buy property in specific zones in Riyadh and Jeddah, with 'special requirements' for home ownership in Makkah and Madinah. It also opened its stock exchange to residents of Gulf countries, who are now allowed to invest directly in the kingdom's main Tadawul market as part of the reform programme. 'Al-Futtaim's global retail footprint, financial strength, and presence in the kingdom make them an ideal strategic investor,' said Fawaz Abdulaziz Alhokair, one of the selling shareholders of Cenomi Retail. 'This strategic investment unlocks significant value for all stakeholders and aligns with Saudi Arabia's Vision 2030 to diversify the economy and attract foreign investment.' Al-Futtaim, a privately held business group, is active in 18 countries in the Middle East, North Africa and Asia, with interests in automotive, financial services, real estate, retail, and health sectors. It represents a portfolio of more than 200 brands, including Toyota, Lexus, Ikea and Marks & Spencer. Cenomi Retail, formed as Fawaz A Alhokair & Co in 1990 by Fawaz, Abdulmajeed and Salman Alhokair, operates 808 stores across 165 shopping malls in eight countries. It currently represents 47 brands, spanning womenswear, children and baby, department stores, shoes and accessories, cosmetics in addition to operating a series of restaurants and coffee shops. Last month, the International Monetary Fund revised Saudi Arabia's economic growth upwards amid the unwinding of production cuts by Opec+ members. The kingdom 's economy is forecast to grow by 3.5 per cent this year, up from a projection of 3 per cent in April, and 3.9 per cent in 2026, an upwards revision of 0.2 percentage points from the last prediction.
Khaleej Times
3 days ago
- Business
- Khaleej Times
Dubai's Al Futtaim buys 49.95% stake in Saudi Arabia's Cenomi Retail for over Dh2.44 billion
Al Futtaim group on Sunday said it acquired a 49.95 per cent stake in Saudi franchise retailer Cenomi Retail for more than 2.5 billion riyals (Dh2.44 billion). The Dubai-based conglomerate acquired the stake from Fawaz Abdulaziz Alhokair, Abdul Majeed Abdulaziz Alhokair, Salman Abdulaziz Alhokair, Saudi FAS Holding Company, and FAS Real Estate Company. The shares are priced at SAR 44 (Dh43) each. Under the agreement, Al Futtaim and Cenomi Retail are currently negotiating a shareholder loan agreement. Under this, Al Futtaim will extend a shareholder loan of an amount not less than SAR 1.3 billion, upon completion of the transaction, to help strengthen Cenomi Retail's balance sheet and support its next phase of growth. Al Futtaim group's expansion into Saudi Arabia reflects the strong growth of the retail market in the GCC's largest economy. According to a recent report by Logic Consulting, the GCC retail industry is on track to reach $390 billion (Dh1.43 trillion) by 2028, led by digital transformation, evolving consumer preferences, and strategic government initiatives. Saudi Arabia and the UAE dominate, accounting for over 75 per cent of regional retail sales, a share set to expand further. Al Futtaim, one of the most diversified private groups in the UAE, is operating across 18 countries in the Middle East, North Africa and Asia in key sectors including automotive, financial services, real estate, retail, and health. It has a portfolio of over 200 brands, employing nearly 33,000 people. Cenomi Retail is the only listed business of its type in the Middle East. Its first store opened in 1991; it now trades in 808 stores across 165 shopping malls in 8 countries, with a retail platform covering a total gross leasable area (GLA) of about 332,000 square meters. All of this is managed by a workforce numbering more than 7,000. Cenomi Retail currently represents 47 brands, spanning womenswear, kids' and baby, department stores, shoes and accessories, cosmetics, in addition to operating a series of restaurants and coffee shops. 'This investment represents substantial foreign direct investment from the UAE private sector and underscores the robust economic partnership between our countries. It strengthens our presence and customer reach in Saudi Arabia, a strategic market with solid fundamentals and a clear national vision,' said Omar Al Futtaim, vice chairman and CEO of Al Futtaim. 'We see significant opportunities to support Cenomi Retail in enhancing operations, accelerating digital transformation, and expanding its brand portfolio. This partnership also paves the way for further collaborations in the dynamic Saudi market,' he said. Salim Fakhouri, CEO at Cenomi Retail, said this deal will firmly place Cenomi Retail 'on the right strategic path towards our next phase of growth, focused on scalable, high-performing global brands that drive long-term value to our shareholders.' The transaction is subject to customary regulatory approvals.
