Tourism Development Fund signs agreement to establish SAR 1.5 bln investment fund

Signing ceremony

Tourism Development Fund (TDF) announced, today, July 19, the signing of a tripartite partnership agreement with Ennismore and Al Rajhi Capital to set up an investment fund with capital of SAR 1.5 billion.

The agreement aims to establish a hospitality investment fund that will develop modern “Lifestyle” hotels, thus enhancing promising opportunities in the hospitality sector across various tourist destinations within the Kingdom, Saudi Press Agency reported, citing a TDF statement.

Under this agreement, TDF will invest in the newly-established investment fund, while Ennismore will lead on designing and operating these projects under the umbrella of its “Lifestyle” brand.

On the other hand, Al Rajhi Capital will manage the investment fund and attract investments, while all three parties will identify locations and provide financing options for the projects.

TDF and Ennismore signed a memorandum of understanding (MoU) last October to consider launching an investment fund, with capital of SAR 1.5 billion, to focus on developing more than 12 lifestyle hotels in the Kingdom, according to data available with Argaam.