GAC green lights Almosafer, Klook JV for digital ticketing services platform

Logo of General Authority for Competition

The General Authority for Competition (GAC) approved today, Sept. 28, the joint-venture (JV) agreement signed between Seera Group Holding’s unit, Almosafer Travel and Tourism Co., and Klook Travel Technology to set up a one-stop digital platform to provide ticketing services for recreational activities, tours and events, according to a statement.

The JV’s operations shall be reported in accordance with the Competition Law and its executive regulations.

GAC concluded that there will not be a threat to competition in the Kingdom’s ticket industry as a result of the new JV, confirming that it will not lead to market monopoly.

In its statement, the authority said the ticket market is facing a growth of 7.5%, which constitutes an attractive environment for the entry of new facilities onboard.

Saad Al Masoud, GAC’s Spokesman, said the JV is the first request for economic concentration to be received by the authority throughout its history in the ticket market. He confirmed that this industry is likely to witness upcoming concentration operations.

On Feb. 17, Almosafer said that, under the five-year contract, it will contribute a minimum of SAR 63 million and a maximum of SAR 116 million. Almosafer and Klook will equally own the JV, according to Argaam's data.

Almosafer will contribute to providing administrative support for the JV’s operation, in addition to a cash contribution. On the other hand, Klook will provide technical services and support.